topic Re: Carrying a Balance: When Do Banks Start to Care? in Credit Cards

Carrying a Balance: When Do Banks Start to Care?

Anonymous — Sun, 29 Apr 2012 06:44:47 GMT

I plan on carrying a balance of about 39% utilization of my entire card collection until Early August. That's only 3 months. Will banks start to get snooty if I carry balances for three months? If so, which banks are less inclined to AA so that I can transfer at least a little bit of my balances over to them?

Chase Southwest--Bal. $580.00 / CL $5,000.00 (15.24 APR, Paying $500 on this Mid-May)

Wells Fargo--Bal. 3,689.00 / CL $4,000.00 (0% APR until October, Paying $2,000 on this in May)

Citi Hilton Honors--Bal. $659.00 / CL $3,000 (16.24%)

Sallie Mae Visa--Bal. $0.00 / CL $2,500.00 (0% APR for a year)

HSBC Cash or Fly--Bal. $0.00 / CL $600.00 (0% APR for a year)

Nationwide Visa--Bal. $0.00 / CL $500.00 (0% APR for a year)

Capital ONE--Bal. $265.00 / CL $500.00 (24.9% APR, I know I need to balance transfer this one to one of the 0% APR)

Fashion Bug--Bal. $417.00 / CL $500.00 (High APR, I know I need to balance transfer this one to one of the 0% APR, PIF in June)

Walmart Store--Bal. $0.00 / CL $450.00

Paypal Smart Connect--Bal. $126.00 / CL $300.00 (Not sure, but most likely in the 20s.)

So, minus the payments I plan on making in May and June, I will essentially be carrying $2,900 in balance, sitting at 17% utilization, for three months.

What do you think?

Thank you,

Jasmine

Re: Carrying a Balance: When Do Banks Start to Care?

Anonymous — Sun, 29 Apr 2012 06:49:57 GMT

Actually, I wanted add that I will be paying about $1,000 per month towards the debt (excluding the above mentioned payments in May and June) as well, starting June. So, it won't really be sitting at $2,900 until August. It'll be down to $900 in early August; I will pay that in full August 2, 2012.

AND THEN I WILL BE SDing most of the cards for six months.

Re: Carrying a Balance: When Do Banks Start to Care?

webhopper — Sun, 29 Apr 2012 06:50:28 GMT

I think you are unlikely to see any adverse action... I would get that WF card paid down ASAP, thats the only one that could potentially scare any of your account holders, because its close to max. Its been my experience that they don't like to see you carrying a balance that is close to your max limit on any one particular card... I think the rule of thumb is 75% Not sure, please someone chime in if i'm wrong on that.

Re: Carrying a Balance: When Do Banks Start to Care?

Anonymous — Sun, 29 Apr 2012 07:11:53 GMT

Yeah, I am going to be paying that down in May. Unfortunately, after the statement cuts though. So it won't report a lower balance until June.

I forgot to mention that MOST OF THESE ACCOUNTS ARE NEW! Does that make a difference?

Re: Carrying a Balance: When Do Banks Start to Care?

webhopper — Sun, 29 Apr 2012 07:15:30 GMT

@Anonymous wrote:
Yeah, I am going to be paying that down in May. Unfortunately, after the statement cuts though. So it won't report a lower balance until June.

I forgot to mention that MOST OF THESE ACCOUNTS ARE NEW! Does that make a difference?

If Chase is new, make sure they are at zero balance, and don't make a typo when you're trying to pay them... They closed my account for a typo!!!! (i was able to reopen but still)

Chase is the only one I' had personal experience with.... I opened my account with them in February, they did an account review in early april and closed account due to a returned payement (I made a typo when entering account info into their web site from my iphone)

Re: Carrying a Balance: When Do Banks Start to Care?

Anonymous — Sun, 29 Apr 2012 07:17:36 GMT

Ugh! Sorry about that!

Well, I've already had successful automatic payments with them, so I am thinking all should be alright on that front. I will transfer that balance to the Sallie Mae Visa.

Re: Carrying a Balance: When Do Banks Start to Care?

Creditaddict — Sun, 29 Apr 2012 14:45:30 GMT

I would not BT the 2 small cards, just pay them in full with the money you speak of in May.

Additionally sinc eyou are talking mostly being debt free by August, I wouldn't give it any thought at all to anyone caring.

Re: Carrying a Balance: When Do Banks Start to Care?

Anonymous — Tue, 10 Sep 2013 02:29:45 GMT

Re: Carrying a Balance: When Do Banks Start to Care?

youngandcreditwrthy — Tue, 10 Sep 2013 02:37:43 GMT

Niiiiice @ skyhigh. Hahaha

You'll be fine with util, you seem to be on top of it. Just take advantage of the 0% while you can and be sure to have the balances paid off, esp that Wells Fargo one since it is the highest.
I've had one maxxed out card reporting about a year (Freedom) and everything has been okay thus far, but Ive been paying a few hundred a month on a $4k bal.

Re: Carrying a Balance: When Do Banks Start to Care?

maceto — Tue, 10 Sep 2013 03:07:22 GMT

Hopefully paid off this balance by now..