topic Re: Timing payments to reflect better util in Credit Cards

Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 08:12:54 GMT

My Cap1 card has been reporting ~40% util for over 3wks now, but is paid off. I try to PIF each month, but i did let a bit revolve. My billing cycle runs the 17th-16th and is due on the 13th. So for example the most recent statement is May 17-June 16th and the due date is July 13th. Also, there were a small am ount of interest charges that accrued on the 16th of June. I usually pay multiple payments throughout the month, but here recently have been trying to keep most PIF each month. So given those are the dates for my billing cycle and due date. When should i make the payment so that when Cap1 reports it will reflect the most accurate balance on the card? It sucks having a zero balance on a card for nearly a month but it is reporting ~40% util.

Thanks,

John

Re: Timing payments to reflect better util

visorboy1974 — Mon, 09 Jul 2012 08:52:46 GMT

If you're paying interest, pay by the due date. If no interest, pay a day before the statement cuts.

I believe CapOne reports on the statement date so if you pay right after the statement cuts, you're still stuck with the UTIL reported for almost a month.

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 09:27:15 GMT

@visorboy1974 wrote:
If you're paying interest, pay by the due date. If no interest, pay a day before the statement cuts.

I believe CapOne reports on the statement date so if you pay right after the statement cuts, you're still stuck with the UTIL reported for almost a month.

The goal is to not pay interest. Cap1 the statement cuts on the due date? So a safe way to make sure they report a PIF each month would be to pay a couple days before the actual due date? Would this go for every card? I hear all the time the terms "statement cuts" & "statement date", and timing the payments to make sure they will report the way you want it to.

So will this do that?

Re: Timing payments to reflect better util

visorboy1974 — Mon, 09 Jul 2012 09:38:00 GMT

@j_casteel wrote:
@visorboy1974 wrote:
If you're paying interest, pay by the due date. If no interest, pay a day before the statement cuts.

I believe CapOne reports on the statement date so if you pay right after the statement cuts, you're still stuck with the UTIL reported for almost a month.
The goal is to not pay interest. Cap1 the statement cuts on the due date? So a safe way to make sure they report a PIF each month would be to pay a couple days before the actual due date? Would this go for every card? I hear all the time the terms "statement cuts" & "statement date", and timing the payments to make sure they will report the way you want it to.

So will this do that?

Statement cut and statement date are the same thing. If you pay the day before a statement cuts, you should be 0 or pretty close to that depending on how interest is calculated from your previous balance.

I'm pretty certain CapOne does not report on the due date, but does report on the statement date.

Quick question, did you pay that 40% utilization after your last statement cut?

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 09:56:03 GMT

@visorboy1974 wrote:
@j_casteel wrote:
@visorboy1974 wrote:
If you're paying interest, pay by the due date. If no interest, pay a day before the statement cuts.

I believe CapOne reports on the statement date so if you pay right after the statement cuts, you're still stuck with the UTIL reported for almost a month.
The goal is to not pay interest. Cap1 the statement cuts on the due date? So a safe way to make sure they report a PIF each month would be to pay a couple days before the actual due date? Would this go for every card? I hear all the time the terms "statement cuts" & "statement date", and timing the payments to make sure they will report the way you want it to.

So will this do that?
Statement cut and statement date are the same thing. If you pay the day before a statement cuts, you should be 0 or pretty close to that depending on how interest is calculated from your previous balance.

I'm pretty certain CapOne does not report on the due date, but does report on the statement date.

Quick question, did you pay that 40% utilization after your last statement cut?
@visorboy1974 wrote:
@j_casteel wrote:
@visorboy1974 wrote:
If you're paying interest, pay by the due date. If no interest, pay a day before the statement cuts.

I believe CapOne reports on the statement date so if you pay right after the statement cuts, you're still stuck with the UTIL reported for almost a month.
The goal is to not pay interest. Cap1 the statement cuts on the due date? So a safe way to make sure they report a PIF each month would be to pay a couple days before the actual due date? Would this go for every card? I hear all the time the terms "statement cuts" & "statement date", and timing the payments to make sure they will report the way you want it to.

So will this do that?
Statement cut and statement date are the same thing. If you pay the day before a statement cuts, you should be 0 or pretty close to that depending on how interest is calculated from your previous balance.

I'm pretty certain CapOne does not report on the due date, but does report on the statement date.

Quick question, did you pay that 40% utilization after your last statement cut?
I built up a bit of a balance on the card, and was making multiple payments per month. I made 2 payments in June: 1 before the due date and another just after the due date. The next due date is July 13th, and it says i have no payment due.

So since my due date is the 13th of each month...that is also the date it "cuts" aka reports to the CRA's?

-John

Re: Timing payments to reflect better util

visorboy1974 — Mon, 09 Jul 2012 10:25:00 GMT

Best way to figure it out is to look at the balance on your statement and the balance on your credit report.

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 10:36:11 GMT

@visorboy1974 wrote:
Best way to figure it out is to look at the balance on your statement and the balance on your credit report.

Ok, i guess i'll just go at it that way. I know its been a zero balance for nearly a month, but the balance reported hasn't been that high since early June.

Re: Timing payments to reflect better util

BrokaToe — Mon, 09 Jul 2012 12:08:12 GMT

If your statements cut on the 16th of each month, then you need to have your balance PIF a few days before the 16th in order to have a $0 balance reported on your reports. That is the only way you will get a zero balance reporting. You can not pay after the end of the cycle and achieve this, not with Cap1 anyway.

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 12:35:31 GMT

Ok so statement cut date is then end of the billing cycle. Just b/c you pay before or on the due date doesn't mean it will report with zero balance.

So if my billing cycle is the 17th-16th but my bill isn't due until the 13th. In order to make sure it reflects PIF on the CRA's I should pay by the 14th or 15th during the billing cycle?

I think I understand it better now.

I appreciate the easier explanation...I'm still learning and am ignorant to certain things still yet.

Re: Timing payments to reflect better util

visorboy1974 — Mon, 09 Jul 2012 12:58:02 GMT

@j_casteel wrote:
Ok so statement cut date is then end of the billing cycle. Just b/c you pay before or on the due date doesn't mean it will report with zero balance.

So if my billing cycle is the 17th-16th but my bill isn't due until the 13th. In order to make sure it reflects PIF on the CRA's I should pay by the 14th or 15th during the billing cycle?

I think I understand it better now.

I appreciate the easier explanation...I'm still learning and am ignorant to certain things still yet.

Or you PIF by the Due Date, don't use it the 3-4 days before the Statement Date and you'll still be reporting 0.

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 13:04:53 GMT

You're just starting to confuse me...

The due date is nearly a month after the billing cycle. (May 17- June 16 with due date on July 13). So if the statement cuts on the 16th then I should pay it a few days before. June 13 for this particular example. If I were to wait to pay on the due date in full then my bill is paid off but Cap1 would still report the balance when the statement cut in the 16th. Is this not correct or am I way off? Why is this seeming so overly complicated?

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 13:08:31 GMT

Wait!

I think I see what you're saying now!!

Make sure to PIF by the 13th of every month (ie. the due date) but done have any charges on it before the statement cuts 3 days later. Which is for the following month.

Is that right?!?.., I hope so. If not the feel free to come to town and slap me.

Re: Timing payments to reflect better util

visorboy1974 — Mon, 09 Jul 2012 13:15:33 GMT

@j_casteel wrote:
You're just starting to confuse me...

The due date is nearly a month after the billing cycle. (May 17- June 16 with due date on July 13). So if the statement cuts on the 16th then I should pay it a few days before. June 13 for this particular example. If I were to wait to pay on the due date in full then my bill is paid off but Cap1 would still report the balance when the statement cut in the 16th. Is this not correct or am I way off? Why is this seeming so overly complicated?

Not correct. If you pay to $0 on your due date, Cap1 will report $0 or any charge that you make between your due date and statement cut that posts before the statement cuts. That's why I'm telling you to not use the card between the due date and statement cut if you want $0 to report.

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 13:21:29 GMT

Was my second reply correct?

Sorry, I've been at work since 5pm yesterday and just made it home and am a little sleep deprived so what you were saying just wasn't clicking.

Re: Timing payments to reflect better util

visorboy1974 — Mon, 09 Jul 2012 13:26:53 GMT

@j_casteel wrote:
Was my second reply correct?

Sorry, I've been at work since 5pm yesterday and just made it home and am a little sleep deprived so what you were saying just wasn't clicking.

Sorry, I missed your second reply. Yes!

When you get down to the statement saying $0 after it cuts, you can then start PIF a day or two before it cuts next. That way you lessen the time between your payment and the potential for something else posting.

Re: Timing payments to reflect better util

j_casteel — Mon, 09 Jul 2012 13:32:39 GMT

Sheesh!!

Thanks for your help...goodnight! er day, whatever. Thanks!

-John

Re: Timing payments to reflect better util

BrokaToe — Mon, 09 Jul 2012 17:38:02 GMT

Yah, like I said, the easiest way to look at it, is be sure your account has a zero balance before the statement cuts. Because what ever is on your statement at the end of the billing cycle is what will report. Once you get one cycle reporting zero, the rest is easy, just be sure you've paid for all your charges before the end of the billing cycle. If you pay previous months charges after the statement cuts, then it will do you no good.