I have a zync with psl that I opened last month... still hasn't reported... I'm just wondering what's the advantage of having it on my credit reports?? any thoughts??
Starting Score: MYFICO 12/30/15 -TU: 481, EQ:561, EX:532 - BK7 DISCHARGED 12/2015 - Current: 09/01/2016 TU:642 EQ: 651 EX: 646
@RonDawg wrote:
@kobe2012 wrote:I have a zync with psl that I opened last month... still hasn't reported... I'm just wondering what's the advantage of having it on my credit reports?? any thoughts??
Depends on the amount of accounts you actually have and if you actually carry a balance on those accounts. Even if you have a PSL they do not report a credit limit on their Charge cards so in the end what ever your highest balance you have every had will become your credit limit on your credit report. Mine is always "0" because I pay before my statement cuts but in the end I didn't get the charge card to boost my score I got it because of the Membership rewards and the fact that I can transfer points to airlines. Also AMEX really stands behind their members on top of awesome customer service. The charge cards force you to spend within your ability to payback each month. Really I pay to play but in the end good things don't come for free. Just my pref.
So, if a balance is reported, would this lower my score????
@kobe2012 wrote:
@RonDawg wrote:
@kobe2012 wrote:I have a zync with psl that I opened last month... still hasn't reported... I'm just wondering what's the advantage of having it on my credit reports?? any thoughts??
Depends on the amount of accounts you actually have and if you actually carry a balance on those accounts. Even if you have a PSL they do not report a credit limit on their Charge cards so in the end what ever your highest balance you have every had will become your credit limit on your credit report. Mine is always "0" because I pay before my statement cuts but in the end I didn't get the charge card to boost my score I got it because of the Membership rewards and the fact that I can transfer points to airlines. Also AMEX really stands behind their members on top of awesome customer service. The charge cards force you to spend within your ability to payback each month. Really I pay to play but in the end good things don't come for free. Just my pref.
So, if a balance is reported, would this lower my score????
Under recent versions of the FICO model ('04, '08) no, under the older FICO '98 it would.
Statistically speaking not that many lenders use '98 compared to the newer models, and nobody is going to move back to the older version so fewer are using it as time passes. Personally I think it's irrelevant and absolutely use my charge card to manage my reported utilization under every FICO model I actually care about.
I don't really see much point to AMEX charge cards. Their rewards aren't really anything better than you can get elsewhere without an AF. Mostly, I think people like AMEX because there is an image associated with their cards.
@lithium78 wrote:I don't really see much point to AMEX charge cards. Their rewards aren't really anything better than you can get elsewhere without an AF. Mostly, I think people like AMEX because there is an image associated with their cards.
I'll give you a perfect example of why they can be extremely useful. I have a loan to repair damage to my home that is taking a little while to process. I'll be getting the funds in a couple weeks but needed to buy various materials. I called up AMEX and told them what I was doing and they said sure go ahead. I put over $7,000 in new cabinets on the charge card without a problem and still can use the card (also put a $500 new microwave oven). I get points for this and then pay off charge card in full when loan funds become available in a couple of weeks.
It allowed me to begin repairs earlier than I would had been able to without having to place the charges on my cards and running up utilization and it allowed me to keep my emergency funds in tack and gained bonus points on card.
@Duncanrr wrote:
@lithium78 wrote:I don't really see much point to AMEX charge cards. Their rewards aren't really anything better than you can get elsewhere without an AF. Mostly, I think people like AMEX because there is an image associated with their cards.
I'll give you a perfect example of why they can be extremely useful. I have a loan to repair damage to my home that is taking a little while to process. I'll be getting the funds in a couple weeks but needed to buy various materials. I called up AMEX and told them what I was doing and they said sure go ahead. I put over $7,000 in new cabinets on the charge card without a problem and still can use the card (also put a $500 new microwave oven). I get points for this and then pay off charge card in full when loan funds become available in a couple of weeks.
It allowed me to begin repairs earlier than I would had been able to without having to place the charges on my cards and running up utilization and it allowed me to keep my emergency funds in tack and gained bonus points on card.
I can see what you are saying, but that's such an isolated use for the card. Typically, a person wouldn't have a need for something like that, but if they had good credit and PIF they could put it temporarily on a regular credit card anyway. I'm just not impressed at all by AMEX's rewards program and I'm even less impressed by the AFs they charge when most cards for people with excellent credit no longer charge AFs anymore. AMEX just seems to be really behind the times and they can be intrusive with their FRs as well, so I just don't think they are worth the hassle.
@lithium78 wrote:
@Duncanrr wrote:
@lithium78 wrote:I don't really see much point to AMEX charge cards. Their rewards aren't really anything better than you can get elsewhere without an AF. Mostly, I think people like AMEX because there is an image associated with their cards.
I'll give you a perfect example of why they can be extremely useful. I have a loan to repair damage to my home that is taking a little while to process. I'll be getting the funds in a couple weeks but needed to buy various materials. I called up AMEX and told them what I was doing and they said sure go ahead. I put over $7,000 in new cabinets on the charge card without a problem and still can use the card (also put a $500 new microwave oven). I get points for this and then pay off charge card in full when loan funds become available in a couple of weeks.
It allowed me to begin repairs earlier than I would had been able to without having to place the charges on my cards and running up utilization and it allowed me to keep my emergency funds in tack and gained bonus points on card.
I can see what you are saying, but that's such an isolated use for the card. Typically, a person wouldn't have a need for something like that, but if they had good credit and PIF they could put it temporarily on a regular credit card anyway. I'm just not impressed at all by AMEX's rewards program and I'm even less impressed by the AFs they charge when most cards for people with excellent credit no longer charge AFs anymore. AMEX just seems to be really behind the times and they can be intrusive with their FRs as well, so I just don't think they are worth the hassle.
+1
There are many no AF NPSL cards out there with comparable rewards.
