topic Re: Should i close PSL Zync? in Credit Cards

Should i close PSL Zync?

Denny33142 — Mon, 15 Oct 2012 02:12:31 GMT

I have had the Zync since September of last year with the $500 limit (which was never lifted), As most of you probably know you cannot apply for another amex product if you have this particular card.

I was originally going to stick with the card for another year since it is my only rewards card, this is no longer the case however since i was recently approved for the Chase Freedom which has better rewards anyway.

So i was thinking of closing the card and applying for the PRG, the issue is that i am not too confident of getting approved.

My EX Fico when i got the Zync a year ago: 623

My Ex Fico 6 months ago: 660

My Ex Fico Now: I am not sure but i assume it should be a bit higher now.

Re: Should i close PSL Zync?

webhopper — Mon, 15 Oct 2012 02:22:03 GMT

I think the answer is yes but please wait til January for maximum backdating

Re: Should i close PSL Zync?

LS2982 — Mon, 15 Oct 2012 02:24:28 GMT

@Denny33142 wrote:
I have had the Zync since September of last year with the $500 limit (which was never lifted), As most of you probably know you cannot apply for another amex product if you have this particular card.

I was originally going to stick with the card for another year since it is my only rewards card, this is no longer the case however since i was recently approved for the Chase Freedom which has better rewards anyway.

So i was thinking of closing the card and applying for the PRG, the issue is that i am not too confident of getting approved.

My EX Fico when i got the Zync a year ago: 623

My Ex Fico 6 months ago: 660

My Ex Fico Now: I am not sure but i assume it should be a bit higher now.

I agree with web, close it in January and get the backdating. 660 should be good enough for the PRG also considering you have solid history with AMEX.

Re: Should i close PSL Zync?

Cdnewmanpac — Mon, 15 Oct 2012 02:29:47 GMT

I'm getting old and tired, but I thought you had to closed any previous charge accounts for at least 90 days to be eligible for the PRG signup bonuses? Our household income is around 200k and I can't remotely begin to justify the PRG annual fee even with the signing bonus, although I don't have a travel-centric job. The last time I ran the numbers, you would have to run about 20k through the card, at least 7500 in multiplier categories, to make this a competitive card vs others. If you are going to close the Zync anyway, why not close now, then apply for PRG in mid-January and get the signing bonus. Then a year from January, decide if you are using it enough to justify the fee.

Re: Should i close PSL Zync?

Duncanrr — Mon, 15 Oct 2012 02:30:01 GMT

Another benefit of waiting, close your card now and wait 90 days then when you app you will be eligible for the signup bonuses.

Re: Should i close PSL Zync?

Denny33142 — Mon, 15 Oct 2012 02:30:18 GMT

why exactly is it better to apply in January?

Re: Should i close PSL Zync?

LS2982 — Mon, 15 Oct 2012 02:31:47 GMT

@Denny33142 wrote:
why exactly is it better to apply in January?

Backdating. Your member date on your new PRG in January will be the same year your Zync was, thus making your AAoA (Average Age of Accounts) longer.

Re: Should i close PSL Zync?

Cdnewmanpac — Mon, 15 Oct 2012 02:31:55 GMT

because if approved now, the card will have an open date of 10/11. If you wait until January, it will have an open date of 1/11, thus gaining you 10 months of history for nothing. All future amex cards will have the month you were approved and the year of your first card as an open date. That is what people mean by "backdating" and is unique to Amex.

Re: Should i close PSL Zync?

webhopper — Mon, 15 Oct 2012 02:49:12 GMT

@Cdnewmanpac wrote:
I'm getting old and tired, but I thought you had to closed any previous charge accounts for at least 90 days to be eligible for the PRG signup bonuses? Our household income is around 200k and I can't remotely begin to justify the PRG annual fee even with the signing bonus, although I don't have a travel-centric job. The last time I ran the numbers, you would have to run about 20k through the card, at least 7500 in multiplier categories, to make this a competitive card vs others. If you are going to close the Zync anyway, why not close now, then apply for PRG in mid-January and get the signing bonus. Then a year from January, decide if you are using it enough to justify the fee.

This is why I carry zync vs gold or pr gold.... I do not travel enough to justify the fee. Most of my spend is in zync pack catagories. My husband is an additional card member. Our YTD spend is 29.3k.... 4% business services 12% communications 1% entertainment 39% merchandise and supplies 12% restaurant 20% transportation 11% travel

Re: Should i close PSL Zync?

webhopper — Mon, 15 Oct 2012 03:11:57 GMT

January is a great time to apply because your new card will show opened since January 2011... thus giving you two years of free history. If you close zync and apply today it will show as opened since October 2011 and you lose those 10 months of free history. If I were you I would close the account today; but keep your card just in case you need to have amex reset your member since date. You will want to wait til mid January as another poster suggested so that you can get all the bonus points.

Re: Should i close PSL Zync?

CreditScholar — Mon, 15 Oct 2012 03:17:27 GMT

@Cdnewmanpac wrote:
I'm getting old and tired, but I thought you had to closed any previous charge accounts for at least 90 days to be eligible for the PRG signup bonuses? Our household income is around 200k and I can't remotely begin to justify the PRG annual fee even with the signing bonus, although I don't have a travel-centric job. The last time I ran the numbers, you would have to run about 20k through the card, at least 7500 in multiplier categories, to make this a competitive card vs others. If you are going to close the Zync anyway, why not close now, then apply for PRG in mid-January and get the signing bonus. Then a year from January, decide if you are using it enough to justify the fee.

This is something that people often forget about here but is quite true. I see plenty of people want the PRG but don't factor in their spending habits. Instead they just see it as the next logical step progression-wise from the Zync.

The reality is that unless you can hit the 30k annual spending booster, or have significant spending in the bonus categories (around 40-50% or more), the PRG won't be worth the AF after the first year. However if you can hit 30k, that's where the PRG really shines.

Re: Should i close PSL Zync?

Denny33142 — Mon, 15 Oct 2012 03:48:08 GMT

I probably wouldn't put more than 10K on the card if even that, So i guess the PRG would not be worth it then.

Would you even break even on any of the charge cards if you spend 10K or less? I know that the Green is even worse in terms of AF/Rewards.

Re: Should i close PSL Zync?

CreditScholar — Mon, 15 Oct 2012 03:57:28 GMT

@Denny33142 wrote:
I probably wouldn't put more than 10K on the card if even that, So i guess the PRG would not be worth it then.

Would you even break even on any of the charge cards if you spend 10K or less? I know that the Green is even worse in terms of AF/Rewards.

Well, the question here is what will you use the points for?

The best value of MR points is to transfer into mileage plans, and then redeem those points for business or first class airfare tickets. International flights generally offer the very best value, domestic first class next, and economy isn't even worth bothering with in most cases.

Assuming a value of 1.6 cents per point, you'd have to spend almost $6,000 annually to break even with the Green. If you're getting less than that per point because you're not redeeming for business/first class, then it's even higher. If you're only spending 10k a year or less, I wouldn't bother with any of their charge cards. You simply don't spend enough to make it worth your while.

Re: Should i close PSL Zync?

MarcinXP — Mon, 15 Oct 2012 04:22:18 GMT

I have the $500 Limit Zync as well and was going to apply for BCE now that my scores are better in January. Are you saying that if my Zync $500 card is open I can't or won't be approved for BCE? Do I have to close the Zync in order to get another Amex product?

Re: Should i close PSL Zync?

webhopper — Mon, 15 Oct 2012 04:27:43 GMT

@MarcinXP wrote:
I have the $500 Limit Zync as well and was going to apply for BCE now that my scores are better in January. Are you saying that if my Zync $500 card is open I can't or won't be approved for BCE? Do I have to close the Zync in order to get another Amex product?

I think the answer is yes based on a thread two days ago. I would encourage you to do the same as the OP. Close your zync and apply for green and BCE in January. If you do not want a charge card skip the green.