topic Re: How close can you run a new card to max. in Credit Cards

How close can you run a new card to max.

Anonymous — Fri, 02 Aug 2013 03:20:45 GMT

Ok so background - only have had the Chase Freedom since the weekend. But as I am going back to Aus for a couple of weeks on the weekend I wanted to give Chase a nice hint that the CL they gave me wasn't adequate on my first statement ($500). The reason for the small limit is its my first card owing to recent intercontinental relocation (despite a 57k salary)

My biggest challenge thus far has been waiting for the charges to come off pending and post to the account so that I can pay them off. Thus far I've run over $500 In charges through the card and paid it back down to keep it sub 50% util. Intention is to pay in full each month, and see if putting plenty through the card encourages Chase to be a little generous and give me an auto CLI. I have a purchase >50% of my limit (~60%) that I want to make online before I'd leave that I'd rather not use the debit card for so hence was wondering if they aren't gonna like it much if I push it close to 90% util, before paying it down below 50% again as soon as the charges that haven't done so yet post. I will most likely take my Util below 20% before statement cut to keep balance reporting low. Would appreciate any thoughts on this.

Re: How close can you run a new card to max.

myjourney — Fri, 02 Aug 2013 03:27:00 GMT

You can run it to 100% just be sure to continue paying off when transactions post,

Don't charge anything 4 days before statement cuts to be safe.

And allow 3 days for PIF's to post to be safe before statement cuts

Re: How close can you run a new card to max.

Anonymous — Fri, 02 Aug 2013 03:31:46 GMT

Did you have an Amex in AU? If so, their global transfer program can get you a card in the US.

Re: How close can you run a new card to max.

Anonymous — Fri, 02 Aug 2013 03:33:40 GMT

I think this is a good idea! i have been doing the same but be sure to keep up with those dates. one of mine caught me with a 80% UTL cause i didn't keep the dates straight.

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Re: How close can you run a new card to max.

red259 — Fri, 02 Aug 2013 03:33:53 GMT

If your paying the charges down as soon as they post I doubt they can fault you for that, especially given your miminal limit. If your paying your balance down to sub 20% before statement cuts and then PIF before the due date that should be sufficient. If you can get util down to sub 10% that would be even better but sub 20 is fine given the small limit. I think the problem would occur if you max out the card and then carry the balance month to month with miminal payments.

Re: How close can you run a new card to max.

red259 — Fri, 02 Aug 2013 03:34:54 GMT

I know with my freedom you can pay a little extra which is how I usually address pending payments that I want to pay off as well.

Re: How close can you run a new card to max.

09Lexie — Fri, 02 Aug 2013 03:42:12 GMT

You could always push payments through your bank.

Re: How close can you run a new card to max.

Omnipotent — Fri, 02 Aug 2013 13:31:40 GMT

No need to worry. I went over my limit 20 days later after I received my CSP. Took a trip to the west coast, then came back paid about 25% then paid the rest when the statement came in.

Re: How close can you run a new card to max.

manwoot — Fri, 02 Aug 2013 13:35:45 GMT

@Omnipotent wrote:
No need to worry. I went over my limit 20 days later after I received my CSP. Took a trip to the west coast, then came back paid about 25% then paid the rest when the statement came in.

Different circumstances. CSP are a Visa Signature card where charging over the limit is allowed. A Chase Freedom with a $500 limit does not have this luxury.

Re: How close can you run a new card to max.

HiLine — Fri, 02 Aug 2013 15:32:05 GMT

As long as you pay off the balance, there is virtually no risk in running a card to the limit, especially for cards that have meager limits. If you are concerned, you can always pre-pay the purchases by pushing money to the card via your bank.

Re: How close can you run a new card to max.

Anonymous — Fri, 02 Aug 2013 16:04:18 GMT

Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.

Re: How close can you run a new card to max.

thom02099 — Sat, 03 Aug 2013 02:19:10 GMT

@Anonymous wrote:
Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.

Also something else to be aware of with Chase, if you're not already...

They have a 3 day limit on payments; you can make only 1 payment per card and then must wait 3 days to make another payment on the same card. So if you plan on making multiple payments in rapid succession, keep that in mind. This is true with the 3 Chase cards I have, I presume it's across the board with all Chase products.

Re: How close can you run a new card to max.

Anonymous — Sat, 03 Aug 2013 02:34:26 GMT

As Lexie said, the fix is to push the payment from your bank (via their bill pay). You can pay as often as you like as much as you like.

Re: How close can you run a new card to max.

Steelersboy — Sat, 03 Aug 2013 02:36:52 GMT

@thom02099 wrote:
@Anonymous wrote:
Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.
Also something else to be aware of with Chase, if you're not already...

They have a 3 day limit on payments; you can make only 1 payment per card and then must wait 3 days to make another payment on the same card. So if you plan on making multiple payments in rapid succession, keep that in mind. This is true with the 3 Chase cards I have, I presume it's across the board with all Chase products.

yep, i cant pay mine until balance posts

Re: How close can you run a new card to max.

Anonymous — Sat, 03 Aug 2013 02:40:18 GMT

@Steelersboy wrote:
@thom02099 wrote:
@Anonymous wrote:
Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.
Also something else to be aware of with Chase, if you're not already...

They have a 3 day limit on payments; you can make only 1 payment per card and then must wait 3 days to make another payment on the same card. So if you plan on making multiple payments in rapid succession, keep that in mind. This is true with the 3 Chase cards I have, I presume it's across the board with all Chase products.
yep, i cant pay mine until balance posts

Again, you can if you push from your bank!

Re: How close can you run a new card to max.

Anonymous — Sat, 03 Aug 2013 03:31:37 GMT

@Anonymous wrote:
@Steelersboy wrote:
@thom02099 wrote:
@Anonymous wrote:
Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.
Also something else to be aware of with Chase, if you're not already...

They have a 3 day limit on payments; you can make only 1 payment per card and then must wait 3 days to make another payment on the same card. So if you plan on making multiple payments in rapid succession, keep that in mind. This is true with the 3 Chase cards I have, I presume it's across the board with all Chase products.
yep, i cant pay mine until balance posts
Again, you can if you push from your bank!

Yes, push from your bank. I pay that way 90% of the time due to multiple bank accounts and the ease of scheduling everything in one place at one time. I've had two payments post on the same day to Chase many times by pushing from my various banks. They never reject a payment that you send to them from another account.

Re: How close can you run a new card to max.

HiLine — Sat, 03 Aug 2013 04:38:55 GMT

@Anonymous wrote:
Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.

Like others and I have said, you can push payments from your bank. In case you wonder what the heck we are talking about, that means using your bank account's bill pay function to pay to the credit card account. Chase will accept the payment, resulting in a credit balance on your card. This credit balance will add to the credit limit to set your purchasing power.

Re: How close can you run a new card to max.

unc0mm0n1 — Sat, 03 Aug 2013 09:00:21 GMT

@HiLine wrote:
@Anonymous wrote:
Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.
Like others and I have said, you can push payments from your bank. In case you wonder what the heck we are talking about, that means using your bank account's bill pay function to pay to the credit card account. Chase will accept the payment, resulting in a credit balance on your card. This credit balance will add to the credit limit to set your purchasing power.

Thanks Hi-line. Although I knew the meaning some people on this thread clearly didn't. I love myFico but if there is one issue I see on this forum it's these high level comments. People use fargon that no one outside of the forum understands and instead of explaining the unusual term they just repeat it over and over again, wondering why the questioner doesn't understand. it reminds me of Americans I used to see in Belgium. They would ask a Wallon something in English and when it's clear the listener doesn't understand english the American would just repeat the same phrase louder.

Re: How close can you run a new card to max.

DaveSignal — Sat, 03 Aug 2013 10:15:18 GMT

@unc0mm0n1 wrote:
HiLine wrote:
tornadoguy wrote:
Thanks folks. HiLine that's the annoying problem, I am unable to pre-pay, they limit you to paying the current balance (non-pending), not sure why they don't allow you to do that.
Like others and I have said, you can push payments from your bank. In case you wonder what the heck we are talking about, that means using your bank account's bill pay function to pay to the credit card account. Chase will accept the payment, resulting in a credit balance on your card. This credit balance will add to the credit limit to set your purchasing power. :robotwink:

Thanks Hi-line. Although I knew the meaning some people on this thread clearly didn't. I love myFico but if there is one issue I see on this forum it's these high level comments. People use fargon that no one outside of the forum understands and instead of explaining the unusual term they just repeat it over and over again, wondering why the questioner doesn't understand. it reminds me of Americans I used to see in Belgium. They would ask a Wallon something in English and when it's clear the listener doesn't understand english the American would just repeat the same phrase louder.

Although HiLine has correctly explained pushing a payment from a bank, which many people do due to its ease of use and ability to pay amounts over the current balance, I don't think the comment about adding to your credit line is accurate. Having a credit balance does not add to your credit limit. If it did actually do this, then people would be able to infinitely increase their credit limits on any card. Your credit limit will stay the same, but you will have a credit balance for the next time a bill is due.

Re: How close can you run a new card to max.

OptimalCS — Sat, 03 Aug 2013 11:54:19 GMT

I agree with pushing payments through your bank. I do this quite often to keep my bal under 10 percent always.

I'm not sure how effect your strategy will be. I think it all boils down to experience. The more experience you have with credit, the more generous credits will be with limits.

I would also caution you to be careful not to go a nickel over your assigned credit limit. This a huge red flag and can cause you not to get auto CLIs.