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Making minimum payment to amex

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red259
Super Contributor

Making minimum payment to amex

Is there a downside to making the minimum payment to amex to get the points from the cycle even though I will end up paying in full before the final due date? Will it flag my account for review in the system if I make only the minimum payment, before I have a chance to PIF by the due date? 

;
Starting Score: EQ: 714, TU 684
Current Score: EQ: 725 7/30/13, TU 684 6/2013, Exp 828 5/2018, Last App 8/5/17
Goal Score: 800 (Achieved!) In garden until Sepetember 2019
Message 1 of 11
10 REPLIES 10
Anonymous
Not applicable

Re: Making minimum payment to amex

highly doubt there would be any problem with that.

Message 2 of 11
K-in-Boston
Credit Mentor

Re: Making minimum payment to amex

No. As long as you PIF by the due date it’s still PIF. Carrying a large balance and making only minimum payments for multiple statement cycles on the other hand...

I’ve done minimum payments in the past just to be safe when I planned to BT the balance but wasn’t 100% confident in the lender processing the BT in time. No issues.
Message 3 of 11
Shadowfactor
Valued Contributor

Re: Making minimum payment to amex

You aren’t considered late until after the due date. All Amex cares about is that you pay the minimum by the due date.

Things might change after a couple cycles of only paying the minimum, but for what you’re doing it’s considered PIF on time.




Total Revolving Limits $254,800

Message 4 of 11
Anonymous
Not applicable

Re: Making minimum payment to amex


@Shadowfactor wrote:
You aren’t considered late until after the due date. All Amex cares about is that you pay the minimum by the due date.

Things might change after a couple cycles of only paying the minimum, but for what you’re doing it’s considered PIF on time.

I have done minimum payments with Amex with no problem but those cards also have/had 0% intro APRs as well. I’m actually doing it on my BBP currently. My 0% expires in May so I’m focusing on paying off other balances that expire first. I’ve never did it on a card with no intro apr though because I PIF those cards.

 

I think the problem lies when one does it on a card that is getting charged interest

Message 5 of 11
Anonymous
Not applicable

Re: Making minimum payment to amex

Questionable.  AMEX & Chase, but I think more Chase, use an algorithum to monitor account payments, especially with new accounts and then flagged accounts are reviewed by a person.  Not sure IMO if it's worth the risk.

Message 6 of 11
NRB525
Super Contributor

Re: Making minimum payment to amex


@Anonymous wrote:

Questionable.  AMEX & Chase, but I think more Chase, use an algorithum to monitor account payments, especially with new accounts and then flagged accounts are reviewed by a person.  Not sure IMO if it's worth the risk.


The OP scenario is to pay the balance in full by the due date. I doubt an algorithm could pick out any sort of trend from that, other than “cardmember may be making multiple payments by the due date.”

 

I don’t see any risk.  

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April 2022 EQ=811 TU=807 EX=805 - TU VS 3.0 765
Message 7 of 11
Anonymous
Not applicable

Re: Making minimum payment to amex

^^^ that’s how I took this too. First payment in the billing cycle is being made in the amount of the minimum payment just so the required payment is covered. Then later (next paycheck possibly) the balance is being paid. I see no issue - OP is simply paying off the balance in two payments. He just happens to make the first one in the amount of the minimum payment so that should something happen later, the required amount has already been covered.
Message 8 of 11
Shadowfactor
Valued Contributor

Re: Making minimum payment to amex


@Anonymous wrote:

@Shadowfactor wrote:
You aren’t considered late until after the due date. All Amex cares about is that you pay the minimum by the due date.

Things might change after a couple cycles of only paying the minimum, but for what you’re doing it’s considered PIF on time.

I have done minimum payments with Amex with no problem but those cards also have/had 0% intro APRs as well. I’m actually doing it on my BBP currently. My 0% expires in May so I’m focusing on paying off other balances that expire first. I’ve never did it on a card with no intro apr though because I PIF those cards.

 

I think the problem lies when one does it on a card that is getting charged interest


It’s very YMMV and profile dependent. 

I think companies have come to expect that people will carry balances during 0% periods. Why else would they offer them ? They hope you carry a balance and either forget or don’t have the money to pay it off in time and they get all that interest. 

 

I personally think amex would shut me down in a heartbeat if I continued my usual activity  of charging 20-40K a month and not PIF. My income doesn’t support that sort of carry, but my business revenue supports spending that much monthly. 





Total Revolving Limits $254,800

Message 9 of 11
red259
Super Contributor

Re: Making minimum payment to amex


@NRB525 wrote:

@Anonymous wrote:

Questionable.  AMEX & Chase, but I think more Chase, use an algorithum to monitor account payments, especially with new accounts and then flagged accounts are reviewed by a person.  Not sure IMO if it's worth the risk.


The OP scenario is to pay the balance in full by the due date. I doubt an algorithm could pick out any sort of trend from that, other than “cardmember may be making multiple payments by the due date.”

 

I don’t see any risk.  


Yes this. I just don't feel like PIF right now but I was trying to see if making a minimum payment now would speed up my bonus posting. However, after looking into it I believe the SUB offer requires 1k more spend than I had spent already, which would explain why the bonus had not posted. I spent an extra $1k on the card, so hopefully I will know in a few days once that charge clears. 

;
Starting Score: EQ: 714, TU 684
Current Score: EQ: 725 7/30/13, TU 684 6/2013, Exp 828 5/2018, Last App 8/5/17
Goal Score: 800 (Achieved!) In garden until Sepetember 2019
Message 10 of 11
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