Timing Question?

[Anonymous]

Ahhhh, I see..so if you really wanna get into the game so to speak, gotta make 2 payments..I gotcha =)

[Anonymous]

---

@Anonymous wrote:
Ahhhh, I see..so if you really wanna get into the game so to speak, gotta make 2 payments..I gotcha =)

---

Not necessarily.  You could make 1 payment right prior to your due date to include current charges too.

If your remaining previous balance is $50 and you have made $1000 in additional charges, you could make a payment of $1050 and then allow a few new charges to post with current statement.  It just depends how many charges you will make from the due date to next statement cut and how big of a balance you want to let report.

For "critical control" to make sure an exact amount reports and exact amounts are paid, then yes, you would make 2 payments, 1 for due date and 1 just prior to statement end date.

[Anonymous]

Ok, one last question on the matter..hehe.   I just received a new CC.  I got it in the mail today and activated and used it tonight to eat out.  The CCC is discover, so how do i know exactly when a statement is going to cut so I can make sure the balance is at zero?  I checked online and it hasn't registered the charges etc, which I imagine it might take more than a couple of hours.

I guess the question is: even though my balance says $0 on the website, I know I just charged $xx.99 on the card.  So can pay that balance even though it hasn't shown up yet? 

I understand that in the future months i'll know the actual date that the statement will cut and can plan for it, but with this being a new card, i'm kinda confused about this first month and it just so happens to be a critical next month regarding fico scores.

thanks ahead of time!

[Anonymous]

---

@Anonymous wrote:

Ok, one last question on the matter..hehe.   I just received a new CC.  I got it in the mail today and activated and used it tonight to eat out.  The CCC is discover, so how do i know exactly when a statement is going to cut so I can make sure the balance is at zero? You will have to call Discover and ask. I checked online and it hasn't registered the charges etc, which I imagine it might take more than a couple of hours. Discover posts charges very slowly. It will take days.

I guess the question is: even though my balance says $0 on the website, I know I just charged $xx.99 on the card.  So can pay that balance even though it hasn't shown up yet? You cannot make an online payment to Discover until the actual charge has posted. 

I understand that in the future months i'll know the actual date that the statement will cut and can plan for it, but with this being a new card, i'm kinda confused about this first month and it just so happens to be a critical next month regarding fico scores. Why?

thanks ahead of time!

---

[Anonymous]

I don't mind not being able to pay a charge until it actually shows up, I just want to be able to pay anytime before a statement is all.  I'll call them tomorrow and find out specifically when my statement cuts.

In response to why, I don't suppose it's actually "critical," but there was one more card I wanted to apply for before I'm done for at least a year.  For this, I wanted my total utilization <9% for the application, as I will be applying for the Charles Schwab Invest First card and I know it's a long shot already considering my thin credit file.

[Anonymous]

Re:  Discover and reporting.  Be careful on this one, Discover has reported balances for me for charges made after the new cycle has already begun, with the previous statement paid in full to zero balance.

They have done this several times at least.  I don't pull reports all of the time, so I don't know if this occurs every month or not, and some months I have not used the card.  But it seems as if they report the balance as of 10 days (or thereabouts) AFTER the statement date.

If anyone can add to this with their experience, I'd like to know more.

Edit to add:  Here's another instance, right this moment.  I just check my SW alert from last week.  An account (Discover) shows an increased balance.

I haven't used this card in the previous two months, and it was at zero balance.

I used the card for the first time in recent months 5 DAYS AFTER theclose date for the statement.

The balance reported INCLUDES an additional charge I made 8 DAYS after statement close...go figure!

Message Edited by Uborrow-Upay on 08-14-2009 07:55 AM

[Anonymous]

This has never happened to me and I would not like it. Is this a Discover Financial Services issued Discover card and not a cobranded card? I ask because this sound like an HSBC practice.

[Anonymous]

---

@Anonymous wrote:

This has never happened to me and I would not like it. Is this a Discover Financial Services issued Discover card and not a cobranded card? I ask because this sound like an HSBC practice.

---

This is a Discover Financial Services issued card, and is not cobranded.

I was kinda surprised the first time it happened, and got dinged a few points that month because of too many cards reporting a balance.  I was giving a few seldom used ones a brief outing, keeping it under 1/2 the cards reporting.

Oh, well.  No biggie.  I'll just plan on this "ten-days-in" type of reporting for the future. 

[cobaltnv]

---

@Anonymous wrote:

I don't think we're on the same page, hehe.  I understand the billing cycle and all, but I'm referring to those balances being reported to CRAs.  Also, say you're putting an entire month's living expense on your card instead of $50..

You want to carry a balance <9%, but you don't want to pay any interest at all..How do you ensure that grace periods and CRA updating mesh in that way?

---

Balances are reported to the CRA on the date your statement drops (usually). So it is not hard to get your credit report to show whatever utilization you wish and still pay zero interest. At no time does one have to carry a balance to have a % utilization post. As long as your credit cards are PIF by the due date there is no interest.

 So the short version:

Pay by statement date (for most cards)--this effects what is reported on your CRA

Pay in full and remaining balance by due date to avoid interest, late fees etc

 Edit: Sorry folks, I thought I was at the end of the thread and that this question had not been answered. After posting I realized their was a second page and this had been addressed.

Message Edited by cobaltnv on 08-14-2009 09:24 AM

[haulingthescoreup]

---

creditwherecreditisdue wrote:

This has never happened to me and I would not like it. Is this a Discover Financial Services issued Discover card and not a cobranded card? I ask because this sound like an HSBC practice.

---

Happened to us once during a December. Reported $0 from the 12/1 statement, and then they reported again a week or so before Christmas. I got a (temporary) ding for too many accounts; called Discover to ask huh?; they apologized and said they had no idea why and would investigate; a week later the reported balance was back to $0.

I never did get an explanation for the extra update, but they fixed it. I don't think that it's deliberate --what would be the motive? --but it does seem to happen with them more than with other CC's.

(Oh, and it's a "real" Discover.)