topic Re: Maxing a card out question in Credit Cards

Maxing a card out question

Anonymous — Sun, 26 Jan 2014 19:26:19 GMT

So I've been on google and the forums looking for an answer and I can't seem to find the exact one I'm looking for...

So here is the scenario:

I pay bill a,b, and c on CC #1 on the 1st of the month, on the 3rd of the month I pay CC in full. Bill a,b, and c = 95% of CC #1's limit. Is this a bad thing (negatively affect my score due to at one point during the billing cycle the card was maxed out)?

I will never roll it over to the next month and this is basically to utilitze rewards and activity on the card. I'm new to the whole credit industry and just looking for a little guidance.

Re: Maxing a card out question

-Wade- — Sun, 26 Jan 2014 19:28:00 GMT

@Anonymous wrote:
So I've been on google and the forums looking for an answer and I can't seem to find the exact one I'm looking for...

So here is the scenario:

I pay bill a,b, and c on CC #1 on the 1st of the month, on the 3rd of the month I pay CC in full. Bill a,b, and c = 95% of CC #1's limit. Is this a bad thing?

I will never roll it over to the next month and this is basically to utilitze rewards and activity on the card. I'm new to the whole credit industry and just looking for a little guidance.

A card that is maxed out is always a bad thing! You need to pay it down as quick as you can! It really hurts your credit score a lot

Re: Maxing a card out question

Anonymous — Sun, 26 Jan 2014 19:27:52 GMT

That's my point, is that it stays maxed for a day or two and never should be reported as maxed out at the end of the month or when the billing cycle ends.

Re: Maxing a card out question

Anonymous — Sun, 26 Jan 2014 19:28:10 GMT

A lot of the answer depends on whether the 95% balance reports to the credit bureaus before you pay it.

Also, you might not wish to do this with a new CC.

Re: Maxing a card out question

-Wade- — Sun, 26 Jan 2014 19:30:18 GMT

@Anonymous wrote:
That's my point, is that it stays maxed for a day or two and never should be reported as maxed out at the end of the month or when the billing cycle ends.

As long as you pay it down before it reports! Then no it's not bad. Just don't let it report

Re: Maxing a card out question

Anonymous — Sun, 26 Jan 2014 19:31:11 GMT

Ok I appreciate the quick responses... I'm trying to set up a auto pay of a new CC actually and I'm deciding what bills I want the CC to pay for (then pay the CC off right away).

edit: Do I just ask the company when they report or how will I find that out?

Re: Maxing a card out question

-Wade- — Sun, 26 Jan 2014 19:34:16 GMT

@Anonymous wrote:
Ok I appreciate the quick responses... I'm trying to set up a auto pay of a new CC actually and I'm deciding what bills I want the CC to pay for (then pay the CC off right away).

edit: Do I just ask the company when they report or how will I find that out?

Most report right after the statements cut! It shows on reports a few days later

Re: Maxing a card out question

Anonymous — Sun, 26 Jan 2014 19:37:17 GMT

thank you wade

Re: Maxing a card out question

-Wade- — Sun, 26 Jan 2014 19:43:25 GMT

@Anonymous wrote:
thank you wade

Your welcome! That's why we are on the forums for to help each other

Re: Maxing a card out question

Anonymous — Sun, 26 Jan 2014 20:03:58 GMT

@Wade64 wrote:
@Anonymous wrote:
Ok I appreciate the quick responses... I'm trying to set up a auto pay of a new CC actually and I'm deciding what bills I want the CC to pay for (then pay the CC off right away).

edit: Do I just ask the company when they report or how will I find that out?
Most report right after the statements cut! It shows on reports a few days later

Note the "Most". US Bank reports at the end of the month, regardless of statement date. I don't know other exceptions but tell us what the card is in case others know.

Re: Maxing a card out question

Anonymous — Sun, 26 Jan 2014 20:06:56 GMT

Even if you let it report, it's no big deal. As long as you are not applying for any sort of credit or loan, just let balances report.

I let my credit card balances report whenever I'm not applying for credit, but I do pay my entire statement in full by the next cycle, so i never get charged any interests. Sometimes I have more than 1 maxed out card reporting, and there's been instances where my CSP and other cards were at >100% utilization, though at different times.

Never had any sort of any issues with any banks. The only downside is that your score takes a temporary hit with all the high utilization reporting, but if you are not seeking credit, then it doesn't matter.

Re: Maxing a card out question

CreditMagic7 — Sun, 26 Jan 2014 20:08:20 GMT

+1 US Bank 100%

Re: Maxing a card out question

-Wade- — Sun, 26 Jan 2014 20:13:12 GMT

@Anonymous wrote:
@Wade64 wrote:
@Anonymous wrote:
Ok I appreciate the quick responses... I'm trying to set up a auto pay of a new CC actually and I'm deciding what bills I want the CC to pay for (then pay the CC off right away).

edit: Do I just ask the company when they report or how will I find that out?
Most report right after the statements cut! It shows on reports a few days later
Note the "Most". US Bank reports at the end of the month, regardless of statement date. I don't know other exceptions but tell us what the card is in case others know.

Amex, Discover and PedFed does it right after statement cuts!

Re: Maxing a card out question

Anonymous — Sun, 26 Jan 2014 20:30:16 GMT

It's a Capital One quicksilver one cash rewards.