Amex question and suggestions regarding my debt

[Np1791]

How does Amex react if you were to carry 70-90% utilization for a few months? 3-4 years of credit history. Only one other card with a 50% utilization and total aggregate utilization at 25%. No late payments ever. Just want to see from the forums experience if Amex gets weird when you carry high utilization for a while.

[Anonymous]

I NEVER carry balances on my AMEX or CHASE cards. Ever.

I carry balances on Cap1 and credit union cards.

To answer your question. I would not go anywhere near maxing out AMEX. 90 percent is asking for trouble.

See what others say.

[Np1791]

Is there a reason for why you say that? Any bad experience or?

[QuakerOatmeal]

AMEX is weird. Sure the charge card options are more or less intended to be paid in full, but sometimes they offer you a pay over time option up to a certain designated credit line (I think its 35k?). But based on my research on these forums, yes they offer that option but I don't think they really intend on you using it much considering that some people have had the option revoked when used. Maybe its supposed to be just like an emergency option?

Also, the credit card offerings now have "plan it" options which allow you to finance certain large purchases (I think anything above $100?) which is strange considering its already charged to a *credit card*... "Sure, charge it, but pay it all off and just pick what you'd like to finance, and don't carry a balance!"

All this leads me to believe that sure, you can pay over time, but they don't really like carrying balances. I always make sure to pay down my balance and keep everything at zero even if it's on one of my credit cards. 

[Anonymous]

I am currently carrying a large balance on my AMEX Green card, since they offered a 0% APR for 6 mos. this applies to any Pay Overtime Balance I have on the charge card. And they were fine with it. I just had to call them and inform them before hand that I was going to use the offer they gave me and that I will be making a large purchase. I think with AMEX, so as long as they are informed and there are no sudden suprises, their system will not take any adverse actions on your account. 

[redpat]

What amount is high?  2k or +10k?

[HeavenOhio]

If you're carrying a large balance on an AMEX card, you can't let it sit there. You need to be making substantial monthly payments. And you should be headed toward zero rather than adding new charges and bringing the balance back up again. In a one-off situation, you're probably fine. But they don't like to see dragged-out balances as a typical behavior.

Capital One, on the other hand, is extremely tolerant. If you need to carry a large balance and don't intend to pay it down quickly, they're not likely to react with adverse action.

[Np1791]

Okay so I just shuffled my debt around and I have it set up this way right now.

(45%)Discover IT Miles-6,975/15,500   0% till May 2019

(74%)Amex Everyday Preferred-8,601.48/11,500   0% till May 2019

(59%)Citi Costco-5,065.77/8,500   16.74% 

(0%)Discover IT-0/3,000

(14%)Amex HH Ascend-140.60/1,000    26.24%

(0%)CareCredit-0/15,000

(0%)Ashley Furniture-0/10,000

Out of this I only owe 14K. I had to finance a vehicle for my dad since something happened to our old car and this caused my debt to increase quite a bit more but My parents will be paying the excess. Currently I have 3,700 to throw at my debt and after that I will be making 800-1,000 payments per month plus what I receive from my parents.

[Np1791]

I'm thinking of doing the snowball method and just take out smallest balance first and do slightly above minimum payments on the others. Don't know what would be best in my case to be honest. I won't be charging more onto the cards and will do a cash diet till these go down significantly. Yes I'm young and stupid. 22 years young.

[Kforce]

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@Np1791 wrote:
Currently I have 3,700 to throw at my debt and after that I will be making 800-1,000 payments per month plus what I receive from my parents.

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Bottom line you are not throwing enough money at the problem to be free buy the time the zero interest loans run out.   My first thought is to pay all you can on the two cards that have interest now (3 months and they are gone) then attack the zero interest cards.  If you use 800/mo on May-2019 you still owe 7,600 if you can pay 1000/mo only 5,600.   If the interest is insane on one of the zero cards after May-2019  attack that card before the lower interest zero card.  You are going to pay interest and still be paying after May-2019 unless you get another influx of money or changes in your budget.   Even so if you push on another 7-9 months you will be CC payment free. Keep working at it. In the long haul it is nice to out from CC payment hell.