topic Re: letting a large balnce post in General Credit Topics

letting a large balnce post

Andypanda — Fri, 20 Nov 2020 22:32:40 GMT

I am doing some major house repairs, which the estimated cost is about $32K. I will be putting it on my amex platinum card, (not the best maximizer of points, but do not have a card with such a high limit). Should i let balance post and pay it off to show that i can handle such a large balance, and being on a charge card, it won't effect my uti, or should I pay it off before the statement closes not to spook other creditors, factoring in current economic conditions?

Re: letting a large balnce post

Physh1 — Fri, 20 Nov 2020 22:54:12 GMT

Does your Plat have a spending power limit of 32k? Just because there is no pre-set spending limit that doesn't mean you have no limit.

If a large purchase like that isn't common then, at MINIMUM, a call to Amex for a heads up will benefit you. Any out of normal purchase activity can attract attention.

If you do not currently have a card with that available limit than I would be hesitant to charge, or try to charge, 32k without checking in with Amex first.

Re: letting a large balnce post

Harvey26 — Fri, 20 Nov 2020 23:34:14 GMT

@AndypandaI mean do you have any cards that have better rewards or maybe get a new card with a big sign up bonus that may have a decent limit. Whats your highest limit and also like someone else said are you for sure that AMEX will approve the 32K.

Re: letting a large balnce post

blindambition — Fri, 20 Nov 2020 23:42:07 GMT

If using Amex, definitely check that the card will support charge, and most definitely inform CS of charge way out of your pattern. I'd pay as much off before statement close.

Re: letting a large balnce post

Andypanda — Fri, 20 Nov 2020 23:53:29 GMT

@blindambition wrote:
If using Amex, definitely check that the card will support charge, and most definitely inform CS of charge way out of your pattern. I'd pay as much off before statement close.

Did that before i posted here.

Re: letting a large balnce post

Anonymous — Sat, 21 Nov 2020 00:13:09 GMT

If floating 32k to due date would benefit your cash flow, then I'd let it report (provided your credit + income supports some higher spend than average)

The Amex Biz Plat gets 1.5x on $5k+ purchases, and it could help you avoid reporting a large balance. The extra rewards would help subsidize the AF, too.

+ 100K SUB if you've never had the card before. or 95K + referral

I don't personally like letting revolvers report high balance, but I wouldn't care about a charge card as it doesn't affect score

Re: letting a large balnce post

Andypanda — Sat, 21 Nov 2020 04:08:52 GMT

@Anonymous wrote:
If floating 32k to due date would benefit your cash flow, then I'd let it report (provided your credit + income supports some higher spend than average)

The Amex Biz Plat gets 1.5x on $5k+ purchases, and it could help you avoid reporting a large balance. The extra rewards would help subsidize the AF, too.
+ 100K SUB if you've never had the card before. or 95K + referral

I don't personally like letting revolvers report high balance, but I wouldn't care about a charge card as it doesn't affect score

I have the money saved up for a case like this, and paying it off will be no problem. This is work that has to be done. I have the buisness gold. I don't know if I should open the biz platinum, can't justify the annual fee beyond 1st or second year.

Re: letting a large balnce post

Anonymous — Sat, 21 Nov 2020 13:02:03 GMT

I wouldn't get in the habit of letting balances post unless absolutely necessary. I once got out of my paying balances down right away habit and accidentally got a Late. I was able to fix the issue but it only happened bc I switched my habit.

I guess what I'm saying is, if you don't usually let balances post, don't start now.

Good luck on the project (that's a huge stress sometimes)!!!

@Andypanda wrote:
I am doing some major house repairs, which the estimated cost is about $32K. I will be putting it on my amex platinum card, (not the best maximizer of points, but do not have a card with such a high limit). Should i let balance post and pay it off to show that i can handle such a large balance, and being on a charge card, it won't effect my uti, or should I pay it off before the statement closes not to spook other creditors, factoring in current economic conditions?

Re: letting a large balnce post

K-in-Boston — Sat, 21 Nov 2020 23:19:14 GMT

It really comes down your profile including your capacity to repay the borrowed amount. Having a large balance on a card one month and paying it off as agreed the next shows responsible credit usage. While there may be some extreme examples (i.e. exaggerated Barclaycard "This cardholder let a $5 balance post to their Discover card - maybe they are about to file bankruptcy? We'd better CLD them first."), the overwhelming majority of lenders do monthly account reviews and make decisions based on patterns. If you have $60k in income, and charge $30k this month, then the balance on that or other accounts keeps going up, up, up in consecutive months, they may have cause for alarm. Otherwise, charge away, enjoy your grace period, and enjoy your rewards.

Re: letting a large balnce post - updated

Andypanda — Tue, 01 Dec 2020 01:13:40 GMT

@Anonymous wrote:
If floating 32k to due date would benefit your cash flow, then I'd let it report (provided your credit + income supports some higher spend than average)

The Amex Biz Plat gets 1.5x on $5k+ purchases, and it could help you avoid reporting a large balance. The extra rewards would help subsidize the AF, too.
+ 100K SUB if you've never had the card before. or 95K + referral

I don't personally like letting revolvers report high balance, but I wouldn't care about a charge card as it doesn't affect score

Got the biz platinum with the 100k sub, payed the bill tonight 0f just under $32,600 amd it went through. Gave amex a courtesy call yesterday just so they new what was going on. Think i will close the card after 2 years.

Re: letting a large balnce post - updated

Mland-EC — Wed, 02 Dec 2020 17:35:29 GMT

I am not sure I trust Amex anymore. So paying it off as you did may have been the best thing you did!

I had a 10K limit on theBlue card and I have an Amex Bsinesss card I get up to maybe 5 to 8 K a month and sometimes pay it down to zero, sometimes I doa plan it(well did) , right now the balance is 1250.00 on plan it.

So I call Amex say I am going to put a large purchase on the Busines Card and it will be close to 15K, it for an HVAC unit. Amex say's, no issue at all. So I drop 14K plus on the business card and within 48 hours I pay it down to 8K. I have about 17 days until the due date whic hoh course is still for the last month billing cycle, of a couple hundred on a plan it.

After I made that payment to get the 14K plus to 8K(again 2 days later) AMEX locked BOTH cards!

They would not relesae the cards until I paid and wanted the money in the current billing cycle, so on the actual due date for the 200 oplan it I paid both cards to zero. Then they unlocked cards. .

The weirest thing is just before I paid both to zero I get a letter stating they were dropping my limit to 6500 on my Blue and raising my % rate was jumping to over 26%!

Then two weeks later I go online and see I have a 14500 limit with a 15.99% rate! On my buness card they say I am no longer allowed a plan it at all! I never even called, I was so mad so Il sring that last plan it along til the end and that's it no more business card, it never assists my credit rating and seemed to effect my Blue card too.

Just no ryme or reason!