@Anonymous wrote:Has anyone ever let their Platinum Card report to the credit bureaus with a balance? (I let $150 report by accident) does it matter? Is it going to look at the "highest balance" of $150 as a credit limit in the future now, if another balance is reported? I meant to report at $0.00..
Doesnt matter. Its a balance, if you paid it off , why worry about it. Sometimes having balances report is a good thing as some lenders view it as usage even though internally they know if you are using it. Im sure many people have their balance report as they often wait til a statement is generated before paying
@Anonymous wrote:Has anyone ever let their Platinum Card report to the credit bureaus with a balance? (I let $150 report by accident) does it matter? Is it going to look at the "highest balance" of $150 as a credit limit in the future now, if another balance is reported? I meant to report at $0.00..
@Anonymous wrote:Has anyone ever let their Platinum Card report to the credit bureaus with a balance? (I let $150 report by accident) does it matter? Is it going to look at the "highest balance" of $150 as a credit limit in the future now, if another balance is reported? I meant to report at $0.00..
"High credit" of an Amex charge card is only a factor -- as an assumed credit limit -- in some of the older scoring models. (I'm not 100% sure about this, but I don't think it relates to reported balances; I think it refers to the highest balance throughout the cycle. I hope someone with greater knowledge, like @Thomas_Thumb or @Revelate will chime in and confirm or dispel.)
In the newer scoring models an Amex charge account counts as an account with a balance, but is disregarded altogether for utilization purposes.
So... don't worry about it.
@SouthJamaica wrote:
@Anonymous wrote:Has anyone ever let their Platinum Card report to the credit bureaus with a balance? (I let $150 report by accident) does it matter? Is it going to look at the "highest balance" of $150 as a credit limit in the future now, if another balance is reported? I meant to report at $0.00..
@Anonymous wrote:Has anyone ever let their Platinum Card report to the credit bureaus with a balance? (I let $150 report by accident) does it matter? Is it going to look at the "highest balance" of $150 as a credit limit in the future now, if another balance is reported? I meant to report at $0.00..
"High credit" of an Amex charge card is only a factor -- as an assumed credit limit -- in some of the older scoring models. (I'm not 100% sure about this, but I don't think it relates to reported balances; I think it refers to the highest balance throughout the cycle. I hope someone with greater knowledge, like @Thomas_Thumb or @Revelate will chime in and confirm or dispel.)
In the newer scoring models an Amex charge account counts as an account with a balance, but is disregarded altogether for utilization purposes.
So... don't worry about it.
You're right SJ: FICO 98 model which the only one still in use today is EX FICO 2 used by some CUs and of course is still part of the almighty mortgage trifecta.
FICO 04 model and newer any tradeline that has a Term = 1 month is automatically discounted from the revolving utilization metric. I don't know any other tradelines that actually report like this except for Amex charge cards.
End of the day, if you are going for a mortgage and going AZEO: don't leave your balance on your Amex charge card anyway so this is really a non-issue... or take the usual long-term forum path of building up so much revolving limits that it doesn't matter anyway, I had a lender pull a mortgage app two weeks ago when I was sitting on 12K/25K reported on over 200K of TCL and some other stray balances, not optimal, but also didn't matter one bit in terms of the rate I got haha.
