Amex To Pay It- Installments

[Anonymous]

I was reading an article that as of tomorrow, Amex will let you pay your balance in monthly installments. For example, from 3 to 24 months. It wil be interesting to see more to come tomorrow when it takes effect. 

[Anonymous]

I just read about this too and it sounds very interesting.

[Anonymous]

It's call the 'Plan It' program and it was originally announced back in June as discussed here. Not sure if this article by ThePointsGuy that you read but he goes into detail about the plan.

[Anonymous]

Will this change the way it will report on the CRAs? Will it now report as a credit card with a balance.  Will be interesting because of the supposed "NPSL"

[Anonymous]

---

@Anonymous wrote:

Will this change the way it will report on the CRAs? Will it now report as a credit card with a balance.  Will be interesting because of the supposed "NPSL"

---

This is for their revolving credit cards, not the charge cards.  So they will continue to report the same as they always did and show whatever balance is left on your account at statement date.  This is just an alternative way of paying for a balance that you might decide to carry.

[Anonymous]

---

@Anonymous wrote:

It's call the 'Plan It' program and it was originally announced back in June as discussed here. Not sure if this article by ThePointsGuy that you read but he goes into detail about the plan.

---

Yes, that's the same article that I was reading by ThePointsGuy

[UpperNwGuy]

Hmm.... seems to me that the "Plan It" fee is interest by another name.  If so, I think the Card Act requires Amex to provide a "Schumer box" stating the interest in percentage terms.

[shoegal]

They sent me 3 reminders in the mail about this offer, today.

[wasCB14]

I wonder if these options really exist to encourage people to carry balances and pay interest...or just confuse them so they're more likely to pay late/not enough and get hit with a lot of fees.

I suspect the latter.

[Anonymous]

---

@wasCB14 wrote:

I wonder if these options really exist to encourage people to carry balances and pay interest...or just confuse them so they're more likely to pay late/not enough and get hit with a lot of fees.

I suspect the latter.

---

I would imagine the former. 

Most people are pretty strict about not carrying a balance because of the high interest rates. Its just something commonly known you shouldnt do. But, i think more people are likely to take the option of "oh cool, for 4% more i can pay off this specific item over the next year".

Idk, just my opinion, but i think they will get a decent amount of people taking this option who otherwise either wouldnt have made the purchase to begin with, or PIF. 

I would personally never use this but i think its suprisingly easy to get your average person to pay an extra couple percent to pay off "splurge" purchases over time.

Its also another inventive for people to use AMEX. "i probably shouldnt buy this, i dont have $xxx.xx to spend right now" "oh yeah, amex will let me pay it off over a year for a tiny bit more!"