@NRB525 wrote:
@Anonymous wrote:What is a bust out, I dont get it
The Bust Out is when someone charges up a card, or many cards, fast, with no intention of paying the balances back. It works best if one steals someone else's identity, then the debt falls on the other person.
In this case, charging, lining up payments rapidly is probably not strictly a bust out (certainly not implying that's the case with anyone posting here) but to the bank, who doesn't know any better, it's a rapid fire pattern of charges that can look like a strange situation. "Bust out" sounds more exciting than "strange situation".
That's not really the definiton I have heard, especially using someone else's card in which case it is just plain fraud! To me, bust out is when the person "grooms" the lender by being a very good customer for several months, making payments on time and staying (way) below the CL. Then they bust out, charging up to the CL and above if possible (now that they are a good customer) and disappear.
@Anonymous wrote:
I pay my Amex three times every month. They never complained.
Always three times because I have two bank accounts I sent monthly payroll deposit to for no other reason than avoiding monthly account fee -- a BoA and a Chase account. I just send the minimum direct deposit needed to avoid a monthly fee from then, and then immediately pay Amex via their bill pay. I then pay the rest of my balance with Amex from my primary checking account via Amex autopay.
So Amex gets paid three times every month, automatically. They have never complained.
I can't see why any kind of adverse action would *ever* be triggered by paying your bill. Ever. It makes no sense to me. They like when you pay!
In your scenario, you are pushing payments from Chase and BofA to AMEX, for two of the three payments. AMEX gets a cash amount through the ACH transfer, they don't initiate the request for those two amounts.
The only amount, of the three AMEX initiates is the autopayment that fills out the remainder of the payments due.
In the other scenario with three payments in 72 hours, those were all initiated off the AMEX site, AMEX set to request the payments. This, in itself, is not going to trigger AA, but it did result in AMEX not allowing other payments to be started. Part of the issue is, their payments request systems can only handle so many open request transactions at a time before they get confused. Those payment requests take at least a few days to resolve. Your sending two payments from outside sources is not a contributor to this confusion.
@Anonymous wrote:
@NRB525 wrote:
@Anonymous wrote:What is a bust out, I dont get it
The Bust Out is when someone charges up a card, or many cards, fast, with no intention of paying the balances back. It works best if one steals someone else's identity, then the debt falls on the other person.
In this case, charging, lining up payments rapidly is probably not strictly a bust out (certainly not implying that's the case with anyone posting here) but to the bank, who doesn't know any better, it's a rapid fire pattern of charges that can look like a strange situation. "Bust out" sounds more exciting than "strange situation".
That's not really the definiton I have heard, especially using someone else's card in which case it is just plain fraud! To me, bust out is when the person "grooms" the lender by being a very good customer for several months, making payments on time and staying (way) below the CL. Then they bust out, charging up to the CL and above if possible (now that they are a good customer) and disappear.
Agreed, the general definition is creating a situation where the card looks OK, but then ends up with huge charges.
The whole "disappear" thing is where I scratch my head. Unless it's not your own SSN on the account, it's rather complicated (and expensive) to get off the electronic payments grid. One could do it, but you'd give up all kinds of conveniences we take for granted in this day and age.
@Anonymous wrote:
Any truth to getting AA for paying a card too quickly ? I just got my Ritz card (CHASE) and the $395 AF hit yesterday. I want to pay it off and begin charging -- it shows my balance $395 and CL $5,000. Will I be ok paying this off today? I've read of people and their scare tactics about getting AA for paying "too soon".
Thoughts ?
Since hubby gets paid biweekly, it's my goal to pay biweekly as well. It doesn't happen every time, though. I've been spending too much money lately... now working to get back on track after the holidays. 