topic Re: PIF & Utilization in Credit Cards

PIF & Utilization

kb — Sat, 25 Aug 2007 02:53:58 GMT

I've read several posts, but I guess I'm just not getting it... I have my CC's set up to PIF on the due date electronically. Does this mean that I won't have any utilization?

Re: PIF & Utilization

MidnightVoice — Sat, 25 Aug 2007 03:17:36 GMT

Your utilization depends on what the CC reports to the CRA. This is usually the statement balance. So if you run up a card to very near the limit, then it gets reported to the CRA, then you PIF, you will appear to have a very high utilization.

This was the mistake I made before coming here

Re: PIF & Utilization

Anonymous — Sat, 25 Aug 2007 03:23:49 GMT

MidnightVoice wrote:
Your utilization depends on what the CC reports to the CRA. This is usually the statement balance. So if you run up a card to very near the limit, then it gets reported to the CRA, then you PIF, you will appear to have a very high utilization.

This was the mistake I made before coming here

I agree with MidnightVoice. I used to run up my DW Providian card to the max every month and then PIF. But I did not realize it was reporting as nearly 100% utilized every month when the statement was cut. To make matters worse, WAMU sold her account when they bought Providian and blacklisted her from getting another card.

Re: PIF & Utilization

kb — Sun, 26 Aug 2007 02:26:19 GMT

Thanks! So, it sounds like I can continue to PIF, but I should try to keep utilization at 1 - 9%.

Re: PIF & Utilization

Anonymous — Sun, 26 Aug 2007 02:37:53 GMT

if you get true credit you can see which day they credit cards are reporting to the CRA and then set it up to PIF a couple days before, instead of waiting for the statement to pay them, often they don't report on the same day that the money is due.