Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Credit Cards
Profile Image

Question By
xieaaron

0 Contributions
0 People Helped
When do credit card companies report balance to credit bureau?
I would like to pay off my balance right before my credit card companies report the balance to 3 credit bureaus. But how do I know when they report to the bureaus? Thanks.
All Responses

Results 1-6 of 6Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
Top Contributor
99 Contributions
663 People Helped
Most Helpful Response

Helpful to 17 out of 19 people

99% of credit card companies report to the 3 on your statement cut date.  If you are wanting to keep your score at it's highest possible, pay these before the cut date, but leave just one card with a low balance...like $10.  With every card posting zero, month after month, the FICO system sees this sort of as a fear of using your cards.  They like to see responsible use.

Right now, one of my positive FICO factors states "recent use of available credit".  Letting a balance of between 3 to 9% of TOTAL available credit, but only on one card seems to be the magic spot.  Several of us on the myFICO forums palyed with these 3's over a few months (we dicided to be the guinea pigs!)  and found those percentages to work in our best favor.

Hope this helped!  :0)

1 Contribution
3 People Helped

Question about reporting balances

Helpful to 3 out of 5 people

I have a question about CCs reporting balances to credit bureaus. 

I noticed I had “balances/debt” that were affecting my credit score even though I pay off my cards in full.  I checked my credit report and figured that any new balance I have accumulated between the due date and closing statement of the card will be reported to the credit bureau.  (e.g.  I pay off my card in full on Oct 28th,  but the statement doesn’t close until Nov 4th or 5th or so.  I make new purchases on Oct 29th, the purchases go from pending to authorized charge by Nov 2nd/3rd, and these new charges get reported to the credit bureaus as a ‘balance’ on my card).

So I’ve recently changed all my credit card due dates to the 1st of the  month, so that the statement closing date will fall around the 5th or 6th (varies by credit card).  I’ve decided to use my CCs after the 6th and pay it off in full by the 1st, and try not to have any activity between the 1st and 5th/6th just so I don’t have a ‘balance’ being reported and messing up my score.  Is this method ok??  You mentioned that having a $0 balance being reported every month isn’t good, but I am actively using my card, I’m just using them outside of the report-to-credit-bureau period so that I don’t have a positive balance being reported.  If I follow this method, will the credit bureau still be able to see that I’m actively using my card, or should I leave one card with a $10 balance as you have stated above?

Reply by
babydee78

2 Contributions
3 People Helped
Helpful to 3 out of 6 people

I'm new to using a credit card but I read that you should always keep a small balance on at least one card on multiple websites. My husband and I are working to buy a home now and that's what our lender told us also.

Top Contributor
99 Contributions
663 People Helped

Helpful to 5 out of 7 people

baygiant11...It is always a pleasure to spread the information I've learned over the years.  My #1 source of information has come from the community forums on the myFICO website.  There is no such thing as a dumb question, everyone there is so helpful and they have some extremely smart moderators.  Even if someone posts misinformation, they are not bashed, but gently guided to the correct info.

Those folks ROCK!

1 Contribution
1 Person Helped

Helpful to 1 out of 2 people

Cc companies are reporting my spending almost immediately, weeks before the due date...and now that I've paid them off (it's been over a week) they have not reported them as paid...ugh?

Top Contributor
99 Contributions
663 People Helped

Helpful to 1 out of 2 people

OOPS!  typo up there....we played with those %'s over a few months.  sorry!  hehe

Reply by
baygiant11

8 Contributions
7 People Helped

Thanks, Bungalow! I didn't ask this question but found it to be quite useful.

Reply by
babydee78

2 Contributions
3 People Helped

Very helpful!

1 Contribution
0 People Helped

due date

Helpful to 0 out of 1 people

i need to increase my credit score by 2 points.  i had a balance on a credit card that i paid down early. Can the credit card sent my balance early or do i have to wait till the due date?

Results 1-6 of 6Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Reply to this Question

Write your response:
Enter Your Comments
 

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.