When should I pay my AMEX bill?

Anonymous · ‎09-23-2010

...and I am looking for more of a response than "before the due date"

Here is my situation: I am a student and began building my credit under a year ago. I have two bank issued credit cards which I currently only use to keep them active (always report 0% util). Both of these cards have limits under $1,000.

I recently was approved for an AMEX Zync, and this is the first full month I have had it. I have charged around $4,000, which is higher than my typical spending. I am wondering if I can somehow leverage this amount of spending to help convince the issuers of my bank cards to up my limits to something more reasonable.

I normally PIF the day after the statement cuts. Is there any difference between paying immediately or waiting untill a few days before the payment due date in terms of what is reported to the credit bureaus? (I have heard of the 'high balance' portion of the report, but I am not sure how it applies to charge cards, or me getting higher credit limits based on my spending in the future).

Thanks for your help!

Anonymous · ‎09-23-2010

My statement just cut on the 20th and I always make sure I PIF before the statement cuts, this way it reports as a zero balance.

With AMEX it will show your balance if you pay on the due date, since this card has no credit limit.

Creditaddict · ‎09-23-2010

@Anonymous wrote:
My statement just cut on the 20th and I always make sure I PIF before the statement cuts, this way it reports as a zero balance.
With AMEX it will show your balance if you pay on the due date, since this card has no credit limit.

why wouldn't you want your amex to report a balance?

and for original question it does not matter rather you pay 1 day after statement or wait until due date to pay. and after that balance reports your other creditors would be able to see that

Anonymous · ‎09-23-2010

Thanks CA. So if I understand you correct once the statement cuts the high balance will be reported to the credit bureau regardless of when I pay it off?

UpNUp · ‎09-23-2010

August was the most I spent on my Green Card. I paid the balance one day after the statement cut to report my highest balance which, on my reports, it appears as though I'm maxed out even though I PIF.

This month my statement cut on the 17th. I PIF on the 15th. When Amex reports to CB's I will show a balance of $0 which will look good because I'm nowhere my limit. I will continue to PIF before the statement cuts.

Creditaddict · ‎09-23-2010

but amex charge cards are not calculated in your util so it does not hurt you... TU is the only one that sometimes gets this wrong.

Anonymous · ‎09-23-2010

@Anonymous wrote:
...and I am looking for more of a response than "before the due date"

Here is my situation: I am a student and began building my credit under a year ago. I have two bank issued credit cards which I currently only use to keep them active (always report 0% util). Both of these cards have limits under $1,000.

I recently was approved for an AMEX Zync, and this is the first full month I have had it. I have charged around $4,000, which is higher than my typical spending. I am wondering if I can somehow leverage this amount of spending to help convince the issuers of my bank cards to up my limits to something more reasonable.

I normally PIF the day after the statement cuts. Is there any difference between paying immediately or waiting untill a few days before the payment due date in terms of what is reported to the credit bureaus? (I have heard of the 'high balance' portion of the report, but I am not sure how it applies to charge cards, or me getting higher credit limits based on my spending in the future).

Thanks for your help!

Ive been looking into the Zync card. One big reason is there is a large purchase i will be making in about 9 months of about $3000 and i want the extended warranty on it from using the card. If you dont mind me asking what is your income if they let you charge $4000 in the first month.

UpNUp · ‎09-23-2010

@Creditaddict wrote:
but amex charge cards are not calculated in your util so it does not hurt you... TU is the only one that sometimes gets this wrong.

But it still looks better with a zero balance along with a high balance, in my opinion.

Creditaddict · ‎09-23-2010

no because if you have a balance of 5k showing on a charge card, other creditors know you have to pay that in full... it looks like you can handle a lot of credit

Anonymous · ‎09-23-2010

UpNUp, Thank you for sharing your experiences. To be honest I am relieved I can pay the balance right after the statement cuts and still have the high balance report (I hate being in debt).