topic Re: Payments - trying something different! in Credit Cards

Payments - trying something different!

RockinRay — Wed, 05 Sep 2012 12:50:57 GMT

For the last year and a half, I have always paid my previous weeks spending on my cards on Sunday via USAA Bill Pay. Typically, the payments post on the following Tuesday.

I think I am going to try paying on the statement due date to see if it would affect my scores. I use 6 cards for my main monthly spends and have $204,000 in open credit. I "might" hi 2% util if I do this and the upside is I will make a small amount of interest by leaving the money in my checking account with USAA. I will let the balance report.

If the score hit is not too bad by doing this, I would rather make the small interest each month. I am not looking for nor do I need any new credit at this time. If it has a big time hit on my scores, I will go back to paying each week to insure a 0 balance is reported. Mu current scores are 785 plus on all three, 785 being TU.

You all think I am "whacked" for trying this out - or????

Daily spenders:

1. Cap 1 Cash Rewards - everthing else

2. US Bank Cash + - bill payment

3. PenFed Cash Rewards - gas

4. Amex BCE - groceries

5. Target Visa - Target

6. USAA World MC - Sam's Club

Re: Payments - trying something different!

mmmagique — Wed, 05 Sep 2012 12:39:16 GMT

Heck no! Try it, and let us know what happens!! : )

Re: Payments - trying something different!

Anonymous — Wed, 05 Sep 2012 16:00:33 GMT

I'd be interested in seeing what happens..Interesting info!

Re: Payments - trying something different!

bichonmom — Wed, 05 Sep 2012 19:13:52 GMT

It can't hurt to experiment. In July, I missed the statement cut off by a couple of hours, so a $12 bal on $2500 CL cc reported. My FICO dropped 10 points! But your total CL is 3x mine. It will be interesting to see what happens. I know I try to maximize the little interest that I get, too.

Re: Payments - trying something different!

CS800 — Wed, 05 Sep 2012 19:17:30 GMT

LEt me know how that turns out. Good experiment.

Re: Payments - trying something different!

Anonymous — Wed, 05 Sep 2012 19:20:51 GMT

@RockinRay wrote:
For the last year and a half, I have always paid my previous weeks spending on my cards on Sunday via USAA Bill Pay. Typically, the payments post on the following Tuesday.

I think I am going to try paying on the statement due date to see if it would affect my scores. I use 6 cards for my main monthly spends and have $204,000 in open credit. I "might" hi 2% util if I do this and the upside is I will make a small amount of interest by leaving the money in my checking account with USAA. I will let the balance report.

If the score hit is not too bad by doing this, I would rather make the small interest each month. I am not looking for nor do I need any new credit at this time. If it has a big time hit on my scores, I will go back to paying each week to insure a 0 balance is reported. Mu current scores are 785 plus on all three, 785 being TU.

You all think I am "whacked" for trying this out - or????

Daily spenders:

1. Cap 1 Cash Rewards - everthing else
2. US Bank Cash + - bill payment
3. PenFed Cash Rewards - gas
4. Amex BCE - groceries
5. Target Visa - Target
6. USAA World MC - Sam's Club

I think you are 'whacked' for not doing this in the first place. (LOL)

Re: Payments - trying something different!

RockinRay — Wed, 05 Sep 2012 19:36:47 GMT

Call it over-kill but I always wanted that "0" balance to report, or, a very small balance to report.

Most likely, I will take a hit for trying this out but in the big picture, the hit may not be that bad. If it drops a bit, I guess I do not really care and if I can pick up a couple of dollars by letting the money sit in checking, then I am a couple of dollars ahead.

This being said, I am not looking for anything new at this time and I am not in need of a mortgage. If this was not the case, I would continue paying on a weekly basis.

My plan will be to pay everything the day before it is due, and PIF. So, it will be intersting to see how that affects my numbers. Most people that I know do this anyway. I just like chasing the highest FICO numbers I can get.

So, anything that comes in for today forward for the next two to three months, I will pay the date before due and report back how it hits me. I will be cuious to see how much $ I can make in interest. Most likely, less than $5 per month...

Re: Payments - trying something different!

jsucool76 — Wed, 05 Sep 2012 19:37:56 GMT

I doubt it will affect your score that much...with that small amount of change in util. The only thing that would ding you would be "Cards reporting a balance" and i'm not sure how big of an effect that will have...

We have almost the same amount of available credit though...if we just add a few zeroes to mine

-jealous- xD

Re: Payments - trying something different!

Cdnewmanpac — Wed, 05 Sep 2012 19:43:32 GMT

Granted, I'm in a different bucket than you, but I accidentally performed a similar experiment this month. Due to a sort of comedy of errors, I ended up going from 6 cards with one reporting a balance of 2% to 7 cards with all reporting a balance, one of >50% of CL. Net result: Scorewatch fico went from 698 to...698. Next month, I should have all reporting zero except for one, which will now be 35% of CL. Total util never went above 9%, but was surprised to see that going from 1 card reporting a balance to 7 had no effect on my score at all.

Re: Payments - trying something different!

Anonymous — Wed, 05 Sep 2012 20:40:02 GMT

@RockinRay wrote:
I "might" hi 2% util if I do this and the upside is I will make a small amount of interest by leaving the money in my checking account with USAA. .... I am not looking for nor do I need any new credit at this time.

I can't imagine 2% making a difference, or if it does, I would expect it to be tiny. But even if it made a huge difference, if you're not looking for any credit, who cares? If/when you need credit, you can pay them early again, and rebound within one month. I PIF every month, but the ONLY time I paid them early was when I was apping for new cards. My CL was much lower, so my util was much higher. My scores jumped up when I paid early, got the cards I wanted, then reverted back to letting my money earn interest (for me) until the bills were due.

Re: Payments - trying something different!

RockinRay — Thu, 06 Sep 2012 01:13:22 GMT

@Anonymous wrote:
@RockinRay wrote:
I "might" hi 2% util if I do this and the upside is I will make a small amount of interest by leaving the money in my checking account with USAA. .... I am not looking for nor do I need any new credit at this time.
I can't imagine 2% making a difference, or if it does, I would expect it to be tiny. But even if it made a huge difference, if you're not looking for any credit, who cares? If/when you need credit, you can pay them early again, and rebound within one month. I PIF every month, but the ONLY time I paid them early was when I was apping for new cards. My CL was much lower, so my util was much higher. My scores jumped up when I paid early, got the cards I wanted, then reverted back to letting my money earn interest (for me) until the bills were due.

Exactly! I am not looking so it will be intersting to see what my numbers do... I am thinking not too much.