@jla84 wrote:Thanks. I'm reading up on posts about the check spending ability and F/R right now. I am planning on putting a Macbook Pro on this card in Dec. Probably around $1500. Do you think it's better to call them instead of just hitting the online check spending ability? In my mind it seems better to talk to an actual person and explain what I am buying and showing that I am a responsible member alerting them that there will be an unusual purchase soon, but who knows what Amex thinks.
I wouldn't even bother checking via the button or phone for that amount. If you slide your card, the worst that can happen is it's declined (you can always have the cash or debit card or checkbook on you as back up if you like and are unsure). Or it could require a call in to be sure it's you making the purchase. They approved you for the card because they looked at the facts in your file, know you're employed, who with and know they can verify your income on request. If they feel they need to FR you for 1500, it won't matter how you find out the result via calling, hitting the button or just attempting the purchase, the result is the same. I'm pretty sure if it doesn't take your balance to over 2500 (or more likely 3k) for that month, that it would go through without a problem.
To me, checking the spending limit by hitting the button or calling them to warn them is like telling them you're unsure of yourself. On the AMEX side it could make them (or their system) wonder "why is this member worried if we'll ok 1500, we know from the numbers they shouldn't have a problem paying some other way if we decline, maybe we should OK it like we would have anyway then double check just in case" bang, laptop and FR all from one call or click. Would I ask them beforehand? No, I'd just have backup on me and in case AMEX might decline I'd tell the clerk I wasn't sure of my limit (prior to swiping) because they don't tell you. Embarrassment avoided as well as an increased chance of an FR. Do I think they'd ok over 5k? Maybe, wouldn't shock me, 10K? Probably not. By giving you the card they basically said they can see you appear to be a financially responsible adult, your income more than supports what obligations they know about and they expect you to use their card with confidence and restraint that reflects the info you gave them.
Thanks for your insight, RyVision! Amex is completely new to me, so I get nervous when people tell me do this and don't do this and F/R this and that. What you're saying makes sense, so I'm going to trust you. 
I'm hoping the best way to deal with Amex is to not worry about it and cross my fingers I fly under their radar.
Starting Score (07/2011): EQ 706 TU 709
@Anonymous wrote:
Congrats, I got mine a few months ago also! I would not mess with the check your spending button like others have stated. First month I put around 400-500 through it then back to back months with 1300-1500 then 1100ish. Never called them once just spent spent spent. Even went on vacation and put a bit on it, not had any problems yet
Thanks! That's helpful. I'm definitely not going to put more than $500 max on it in the first month.
A long history lesson on how we got to a button on a screen to check spending limits:
I know a lot of people see little to no problem with checking their spending limit on Amex. There are people it probably won't effect at all, there are also people that take the wrong exit and avoid the 20 car pile up 5 miles down the road, and people that wake up in the morning looking perfect. Some just happen to have the right numbers, timing and\or luck with Amex to click away and not worry (not everyone is hit by lightning just because everyone tries holding a metal pole in an electrical storm).
Some more reasoning behind checking limits and FRs is also connected to required reserves. When a bank (Amex in this case) loans you money (approves your charge or tells you your spending limit) they "lock up" their fractional reserve (assets they have of which a percentage can be loaned out). They themselves have a sort of credit limit in a sense. Most have heard of the big depression (the dirty 30's) when the banks failed. That was primarily due to the banks loaning money they shouldn't have and everyone getting comfortable with easy profits in the market and to some extent credit (sound a bit familiar?).
Banks (and investors) were making money like crazy during the "roaring 20s"... Things turned on them, the house of cards the stock market had become fell in on itself and people needed their cash (the runs on banks you've heard of). The banks didn't have the cash to pay their depositors on request, nor could they get it, it evaporated in the market (banks got greedy and played games, their own irresponsible drunken teenage party so to speak, making money on a market upswing with nothing to support it they themselves created, ). There was no FDIC or bank bailout. People wanting and needing their money were simply turned away empty handed.
My parents were born in the 20's and raised during the 30's, they saw how horrible it was for everyone (no one blamed welfare moms, lazy unemployed people getting checks, easy mortgages or credit cards, none of those excuses existed like today, and they are excuses). It was all due to greed, bankers, investors and average people talked into investing in the ride, how could they lose. Reality hit, even if you didn't invest, only put money in the bank, it was gone the start of a very long depression. Then we got smart and put regulations in place to help avoid such a thing happening again.
When my Mother and older relatives (in their 80s and 90s) hear how "bad" things are, and how we're in a depression, they laugh (with good reason). There were no social programs for food, unemployment checks or "safe" havens money was invested to rely on like today. Average Americans (the lucky ones) huddled near a heat source (usually a wood burning stove of some kind, powered by wood they'd often go get themselves) wrapped in blankets in 1 room during the winter because heat was a luxury. They raised chickens for food (butchered at home) and grew what they could. What little money they got wouldn't see a bank, if not spent it went into jars and mattresses where it was safe from banker thieves and liars (I'm quoting those that were there).
Things eventually perked up, the government spent money on infrastructure (government spending creates jobs as it injects money into the economy), the highest tax rate in the 50's was around 90% (yes, 90, you either invested in America for deductions or paid, those deductions actually made the rich richer while driving the economy btw) regulations stood for a long time, social programs to protect people put in place, the economy doing well for decades, history slowly faded in memories until few of us can say we at least heard about it from those that lived it. Then the banks and brokers got greedy, paid lobbyists and politicians to loosen up some regulations, it was preventing growth they claimed.
Finally, regulations loosened the profit party starting up again, we eventually came to a few years ago (yes, we spent and are spending a fortune toward foreign matters but we all know that so I won't take up space with it). We bailed out the banks and some companies (as much as I hate banks, they're a machine, without regulators any machine can overheat and it was good we put out the fire before we went down the same road as they did 80 years ago). Now we come to required reserves (Fractional Reserve Banking) and regulations tightened back up a bit. When Amex (or any bank) locks up reserves for some reason, they can't use it elsewhere. If someone hits the button or over extends or even hints at it, they want to make sure they're within guidelines. FR's are one way of doing that with a charge account as they can't really CLD like on a revolving (remember that wonderful little treat, even for those with stellar credit, along with increased interest rates without warning in attempts to build their reserves after chasing profits with iffy, easy credit).
Now, when we click the button, make a purchase, we lock up reserves. Imagine a bunch of people, sitting at their PC, curious... click, oh try it for 14k see what they say, click, etc.. Holiday season comes along, click click click, buy buy buy, reserves getting chewed up. FR's all over the place (they also have to show they're loaning responsibly). Amex has to worry about their credit limit too and they don't want curiosity locking up their reserves. They have to know those reserves are going to be paid back (even though they don't get interest, the charge pays them the fee) or they've wasted not only the potential profit, but the principal as well.
Those regulations you hear some complain about in office, not only keep us safe when it comes to products, employment and money, they allow us the potential to carry AMEX if we show we've earned the privilege, all the while keeping us from going down that road to freezing or nearly starving due to a financial meltdown. Now you know the deeper reasoning as to why I avoid that button and advise others to as well.
I know this was looooong and I appreciate anyone reading and maybe learning from it. History forgotten is bound to repeat itself. I also feel honored to have shared any info someone found helpful, that's what these forums are for, credit info and education. I consider these forums one of the most helpful sources of info about credit imaginable. And I learn a lot through others sharing their experiences etc.
And all that above is why someone referred to another members newly acquired AMEX as a "Faberge Egg" and to treat it as such 
@Anonymous wrote:Nice little bit of history there ! I was gonna skip it after reading a sentence or two but sucked in ^^
Same here...
Quick question for anyone recent with Zync. Do you remember (if it's shown yet for you) when your annual fee showed up online, was it before the statement ran? I just checked again tonight thinking I'd just pay it before the statement ran, and after 3 weeks it still shows 0. I haven't put anything else on the card so I don't know if that's a factor or not.
I don't really want to push the payment through before I see it online either (I'm pretty sure it's the 40 with and AU but I'd like to know for sure first). I'd rather it not report as a balance when it does report.
I'm guessing I'll check daily to catch it before a statement cut since there's no way to know that date yet. (I somewhat hate doing that as I feel like I'm "poking" Amex).
And yes, I saw the curiosity button while there and I can see how it's a bit tempting. Kind of like wondering what a limit is on a new card before they tell you.