How exactly does over paying on a credit card work?

[unsungivy]

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@Kforce wrote:

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@unsungivy wrote:

For example, recently with an AmEx "spend 1k" PC promotion, I prepaid the remaining amount I needed to spend (which showed as a credit), and knew that when my account no longer showed a credit, I had completed the promotion. This meant I didn't have to keep doing the math of how much more I needed to spend.

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Another use that I never thought of, but very nice.

This topic has pulled responses from fellow "Pushers".

Nice to have company, @unsungivy and @Horseshoez .

I like the nice even $100 payments for my record's and also the

all in a row same day payments with labels that I created

for cards.  My OCD dislikes the issuers pull payment

labels for charges , "Cit_26438746_357995" .

Much prefer "Citi_Custom Cash",  "AOD Visa", "Alliant_Visa"

Especially nice if one has multiple cards from an issuer.

@unsungivy  posted:

Most cards that allow overpayment only allow it up to a certain % over your posted total (usually a non-issue).

I once pushed 10k to a card because I had a 13k pending that would post and did not want 70% util to report.

CU did not bat an eye.

If they did they never told me   

As many have posted this is a tool for some that like to manage utilization, have small CL's, or like to streamline record keeping. It is not the best payment method for the "Floaters".

Pushing is often used to pre-pay that which could be paid later (loss in free float money).

Gain from this is OCD record keeping, low utilization, Azeo playing, or very small CL for your spend on a card.  Many of these things can be found in starter profiles .

Auto pay and 15x your spend as a CL on each card, eliminate the need.

Not everyone has or even wants to play all the games, to push limits to be an "Auto Man".  Only thick, old profiles need not think a little about utilization.

I have old, thick file, and good Fico's  however I like to push for the simplicity and record side. Currently don't worry to much about scores, utilization, etc.

However by being "push pay", at any time I can do Azeo if necessary for

a new card app, car loan, etc. 

For me it is just a better way to pay. 

However I am not one to wait until the last second to pay, credit card, utility bill, tax's, etc.

I get the bill, I pay. Don't put it in a calendar and wait until day 26 out of 30 to pay!

I would not be able to sleep well.   

I lean toward being debt free and realize a loss from paying early.

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My OCD greets your OCD as a kindred spirit.

[Cblough93]

To circle back to the AZEO thing, I feel it's 100% worth the effort to do each month. 

mostly because you never know when you are going to need to apply for something. What if your car breaks down and you need to apply for a loan to pay, or you need to buy a new car and apply for a new car loan all together.

Or theres a serious life event or medical bill, and you need to apply for additional credit.

It doesn't have to be that serious, it could just be that there's a very attractive incentive for a credit card that expires quickly and you don't want to miss it

For me it really comes down to your specific situation and how much AZEO helps/hurts your specific profile. On my profile, because I only have 3 cards, if I let 2 cards report I go over the 50% of accounts threshold. So I lose anywhere between 12-30 points by not practicing AZEO. And in my specific profile that brought 2 of my scores from over 740 (exceptional score) to under 740 (good score)

for me 12-30 points is enough of a reward to warrant practicing AZEO every month. 

[Anonymous]

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@Cblough93 wrote:

For me it really comes down to your specific situation and how much AZEO helps/hurts your specific profile. On my profile, because I only have 3 cards, if I let 2 cards report I go over the 50% of accounts threshold. So I lose anywhere between 12-30 points by not practicing AZEO. And in my specific profile that brought 2 of my scores from over 740 (exceptional score) to under 740 (good score)

for me 12-30 points is enough of a reward to warrant practicing AZEO every month. 

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Yes, and I would also add it (should!) depend on the cost of AZEO.  If you have high CLs and high charges each month, AZEO costs more in lost float and so the point gain needs to be higher to justify.   And of course not just point gain, the significance of that.   So if not doing AZEO means dropping from 840 to 800, those 40 points probably have no real impact.

[unsungivy]

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@Cblough93 wrote:

To circle back to the AZEO thing, I feel it's 100% worth the effort to do each month. 

mostly because you never know when you are going to need to apply for something. What if your car breaks down and you need to apply for a loan to pay, or you need to buy a new car and apply for a new car loan all together.

Or theres a serious life event or medical bill, and you need to apply for additional credit.

It doesn't have to be that serious, it could just be that there's a very attractive incentive for a credit card that expires quickly and you don't want to miss it

For me it really comes down to your specific situation and how much AZEO helps/hurts your specific profile. On my profile, because I only have 3 cards, if I let 2 cards report I go over the 50% of accounts threshold. So I lose anywhere between 12-30 points by not practicing AZEO. And in my specific profile that brought 2 of my scores from over 740 (exceptional score) to under 740 (good score)

for me 12-30 points is enough of a reward to warrant practicing AZEO every month. 

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I would add that it reduces stress and worry about finances, in addition to having scores ready if you need them.

If something happens to you and you're in a position where you cannot attend to your finances (such as stuck in a French hospital with no WiFi for several days, to cite a recent example from my life), you know that the books are "balanced" and have bought yourself a cushion of time before they need attending to again... or they don't, if you are not using your cards.

Say you are in a coma, well, your loved ones don't have to worry about how to pay them for you, because you're paid up.

No looming "lates" (hopefully you have autopay minimum payment turned on on all your cards anyways), or interest accumulating, to add to an already stressful situation.

[CreditCurious]

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@Cblough93 wrote:

To circle back to the AZEO thing, I feel it's 100% worth the effort to do each month. 

mostly because you never know when you are going to need to apply for something. What if your car breaks down and you need to apply for a loan to pay, or you need to buy a new car and apply for a new car loan all together.

Or theres a serious life event or medical bill, and you need to apply for additional credit.

It doesn't have to be that serious, it could just be that there's a very attractive incentive for a credit card that expires quickly and you don't want to miss it

For me it really comes down to your specific situation and how much AZEO helps/hurts your specific profile. On my profile, because I only have 3 cards, if I let 2 cards report I go over the 50% of accounts threshold. So I lose anywhere between 12-30 points by not practicing AZEO. And in my specific profile that brought 2 of my scores from over 740 (exceptional score) to under 740 (good score)

for me 12-30 points is enough of a reward to warrant practicing AZEO every month. 

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I think you are right when you say it depends on your specific situation.

Without AZEO I am currently sitting at about 825, so I don't really care if I don't optimize.  I have no interest in adding cards, I don't need to add additional credit lines for car repairs or medical expenses.  I am not going to be taking out a HELOC, and my cars are new enough that I am not worried about catastrophic failure.

Thank you for opening my eyes as to why one would want to do it, I just cannot be bothered to actually care enough to actually do it.

[Gregory1776]

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@Cblough93 wrote:

To circle back to the AZEO thing, I feel it's 100% worth the effort to do each month. 

mostly because you never know when you are going to need to apply for something. What if your car breaks down and you need to apply for a loan to pay, or you need to buy a new car and apply for a new car loan all together.

Or theres a serious life event or medical bill, and you need to apply for additional credit.

It doesn't have to be that serious, it could just be that there's a very attractive incentive for a credit card that expires quickly and you don't want to miss it

For me it really comes down to your specific situation and how much AZEO helps/hurts your specific profile. On my profile, because I only have 3 cards, if I let 2 cards report I go over the 50% of accounts threshold. So I lose anywhere between 12-30 points by not practicing AZEO. And in my specific profile that brought 2 of my scores from over 740 (exceptional score) to under 740 (good score)

for me 12-30 points is enough of a reward to warrant practicing AZEO every month. 

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In an ideal world, you'll worry about getting your finances in order before thinking about credit, so when emergency's occur you don't need to borrow money.