Question about AZEO....Please Help (:

[Anonymous]

Hey there,

1. I was just wondering, as I've only recently started learning more from all you awesome credit wise folks, does AZEO have a cumulative effect? In other words, I understand that practicing AZEO can give one's scores a boost, but what I don't know for certain is if its effects sort of add up over time leading to a better increase the longer one maintains the practice or if it's a practice that's primarily only important before applying for credit/loan in the month(s) before application because it has a cap on its effect. I always PIF and have low utilization but only recently have I started to make sure that I have many accounts reporting at zero.

2. And on that note, one more AZEO related question just to make sure I've got a better grasp: how does one determine the best time to pay off an account before it reports? I've heard conflicting information on this, i.e. by the due date or 2 days before the due date, (which obviously varies from card to card).

Any insights on any of these questions is well appreciated, so a big 'thank you' in advance!

Cheers (:

[HeavenOhio]

There's no cumulative effect on your score. If you're off one month, you can fix it the next. Having said that, lenders will probably like your payment patterns.

To achieve AZEO, you need to pay in time to control your the number that goes onto your credit reports.  Most cards report each month's statement balance on or just after the statement cuts. In those cases, you'd want your payment to be processed and posted so you have your zero balance or low balance at statement time.

A few banks report at times other than the statement cut date. US Bank reports on the first of the month, and I think that Bank of the West may do that too. In cases like that, pay to your desired balance just before the first of the month.

Chase will report the statement balance on the statement date, but they'll also report zero whenever you pay to zero. For that reason, it's easier not to use a Chase card for your non-zero balance. Rather, work this policy to your advantage. If you haven't paid to zero by statement time, know that you have another shot at getting Chase to report zero.

(If you ever need to have a Chase card continuously report a positive balance without paying interest, it's possible to do. If you need that information, we can provide details.)

[arkane]

---

wrote:

There's no cumulative effect on your score. If you're off one month, you can fix it the next. Having said that, lenders will probably like your payment patterns.

To achieve AZEO, you need to pay in time to control your the number that goes onto your credit reports.  Most cards report each month's statement balance on or just after the statement cuts. In those cases, you'd want your payment to be processed and posted so you have your zero balance or low balance at statement time.

A few banks report at times other than the statement cut date. US Bank reports on the first of the month, and I think that Bank of the West may do that too. In cases like that, pay to your desired balance just before the first of the month.

Chase will report the statement balance on the statement date, but they'll also report zero whenever you pay to zero. For that reason, it's easier not to use a Chase card for your non-zero balance. Rather, work this policy to your advantage. If you haven't paid to zero by statement time, know that you have another shot at getting Chase to report zero.

(If you ever need to have a Chase card continuously report a positive balance without paying interest, it's possible to do. If you need that information, we can provide details.)

---

This really shouldn't be too hard if you use your Chase card organically right? Make sure you make a (small) purchase after your statement cuts, and let it post before PIF so the balance never goes to 0. I imagine if your Chase card is your daily driver, this would happen naturally anyway.

[HeavenOhio]

Yeah, that's how you do it. Make sure a purchase posts before paying your Chase statement balance in full.

I'm one of these whose natural inclination is to pay to zero whenever it's convenient. To me, that's organic. Anyway, I would think that one organic way to handle a card would be to pay right after a statement is cut and money becomes "due." At that point, one might decide to pay whatever the current balance is because what the heck, it's convenient to do.

By the way, Chase will report whenever you request that they do so. If you need a non-zero balance reported, just call and ask.