Help with Credit card / App / Monthly Payments

[Anonymous]

Hey all, so i have just recently become obsessed with my credit. I just turned 30 and over the last few years just started to rebuild my credit. 

My credit limits on my cards were only like $300 and $500 bucks. So I would max them weekly, or bi-weekly, and pay them just the same. But i use my credit card phone apps to pay and view everything. Everything has been going smoothly over the last 6 to 8 months of these 2 credit cards. I called last week to get a CLI on my Amazon CC and it went from $500 to $5500, so im kind of in shock and now really trying to buckle down and get all my dates, and everything in order.

So I really need help on biling cycle, due dates, and actual payments by app. My credit card due date is the 1st of the month. So i would use the card for 1 to 2 weeks, maxing it out, and that next friday I would pay it off. But I dont know if i am showing a balace, or anything. I dont base my payments off of anything other than the due date and ammounts that my app on my phone shows. 

Basically I am wondering when is the ideal time to pay ?

Now that I have a 5500 limit card, I will/want to be only spending/leaving 10% on the balance so I can work on other credit cards that I recently got approved for ( BCE $1k & hopefully another 1 or 2 w/ PenFed) and also paying my SO debts down so we can work on her (better than my) credit next. Cuz shes got some balances for the last few months.

[mattmyFIC0]

I'm trying out debitize for some of my cards. I usually PIF anyway and it seems to just make the process even easier. The only bummer is they don't work with all the major lenders yet...

[Anonymous]

So i just seen the decision for PenFed CC

PenFed Platinum Rewards Visa Signature 10695994 TURNED DOWN 09/02/2016
INCOME INSUFFICIENT FOR AMT REQUESTED
EXC OBLIGATONS IN RELATION TO INC  

PenFed Visa Gold 10695986 TURNED DOWN 09/02/2016
INCOME INSUFFICIENT FOR AMT REQUESTED
EXC OBLIGATONS IN RELATION TO INC

[sarge12]

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@Anonymous wrote:

Hey all, so i have just recently become obsessed with my credit. I just turned 30 and over the last few years just started to rebuild my credit. 

My credit limits on my cards were only like $300 and $500 bucks. So I would max them weekly, or bi-weekly, and pay them just the same. But i use my credit card phone apps to pay and view everything. Everything has been going smoothly over the last 6 to 8 months of these 2 credit cards. I called last week to get a CLI on my Amazon CC and it went from $500 to $5500, so im kind of in shock and now really trying to buckle down and get all my dates, and everything in order.

So I really need help on biling cycle, due dates, and actual payments by app. My credit card due date is the 1st of the month. So i would use the card for 1 to 2 weeks, maxing it out, and that next friday I would pay it off. But I dont know if i am showing a balace, or anything. I dont base my payments off of anything other than the due date and ammounts that my app on my phone shows. 

Basically I am wondering when is the ideal time to pay ?

Now that I have a 5500 limit card, I will/want to be only spending/leaving 10% on the balance so I can work on other credit cards that I recently got approved for ( BCE $1k & hopefully another 1 or 2 w/ PenFed) and also paying my SO debts down so we can work on her (better than my) credit next. Cuz shes got some balances for the last few months.

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It is best to PIF every month prior to due date. If you decide that you are going to apply for new credit, the month before, you need to PIF all credit cards except 1 prior to the statement cutting. That one card, leave about 50 dollars balance until a couple of days before due date. The purpose of this is to have credit card use with very low utilization reporting to the CRA's. This will get you the maximum amount of points available for utilization when you apply. Unless you run crazy high utilization that might prompt AA by current creditors, the only time utilization is even important is on the credit reports just prior to a credit application. Utilization has no history, so what your utilization was last month has absolutely no effect on this months score. It only matters what your utilization shows on the day of the HP.

[austinguy907]

I just use the KISS method and auto pay the statement balance w/o worrying about all of this stuff about 10% 5% or whatever % to show.  As to your Penfed results it sounds like either you put in the wrong income or your DTI is over 40% and spooked them from approving you for the CC's.  Seems like there might be some information you could share if you decide to pursue other lines of credit.  In the long term though if you have plans for major purchases this is the time to start thinking about it to prepare your file for the best results whether it be a home or auto.  

Give yourself a budget for the CC's and then let them auto pay each month and with time you'll be in great shape financially and scorewise as well!

For instance $550/mo on the CC would be 10% that you could autopay w/o thinking about it.

[Anonymous]

If I pay in full every month right before the due date, do I have to worry about anything showing up on my statement balance ?

Say I max my $500 card or $1000 card and I PIF right before the due date, how much, or does any of that show up on my balance ?

[Anonymous]

Charges made after you have paid off the balance and the day the statement cuts, will show up as utilization on the card.

For example, my due date is the 27th and my statement cuts on the 2nd. I paid my balance on full on the 27th. I had a couple pending items and some more purchases between the 28th and the 2nd. All the purchases between the 28th and 2nd showed up on my credit report as the balance on the card (utilization).

If you did not have any pending items not calculated in the balance when you paid in full and you did not charge anything between paying in full and statement cut, the balance will be 0 and you will not have any utilization showing for that card.

[Anonymous]

I think I might have just realized where all my confusion is coming from. I only pay attention to my credit card due date on my phone.

So all my charges for the month of August, with a due date ( from what it says on my phone ) is Sept. 1st 

Is how i base all my payments. This is not correct ? 

or should I be basing all my payments off of my actual statement and billing cycle dates ? 

which is the 5th of the previous month to the 4th of the current month, due on the 1st of the following month. 

so in order to really PIF.. i have to pay my CC by the 3rd of every month ( one day before statement cuts? ) to show no balance from the previous month ? 

[austinguy907]

You're over thinking things Mike.  Just set a budget of 10% of your limit on each card or a single card per month and let it report. Just pay as normal and you'll be fine and interest free.

[Anonymous]

Pay by the due date like normal. Dont use the card after the due date and before the statement cut if you want it to report 0 balance.

If you do use it after due date and before statement cut, you can make a payment before statement cut to try to zero the balance.

Always pay in full by due date, if you use the card between due date and statement cut some utilization will show if you dont make another payment.