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Question By
xieaaron

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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.

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closing date

Helpful to 4 out of 5 people

Credit issuers report to the bureaus what the balance is on your closing date. Say your bill is due on the fifteenth of the month. The closing date will probably be the eighteenth (although the reporting may not actually take place until several days after this). On this day, a "snapshot" of your balance is taken and this is what is reported to the bureaus. 

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2 cc equal 2 different closing dates?

Helpful to 1 out of 1 people

So if I have two different cc, Wells Fargo and capital one and they both have their own closing dates, does this mean that I get reported twice a month? If this is the case should I leave a small balance for the card that closing for that month? Help please.

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Never know when bank is updating

Helpful to 1 out of 1 people

It seems impossible to determine when bank of america reports my Credit Card Balance to Transunion and Equifax.   I have called Bank of America about this and they said it is at end/beginning of every month.  Yet the inquiry is showing last update on the 19th of month.   I have a small secured credit card of $500.00 limit and it is impossible to keep my CC Utilization in the Excellent or Good Range.  I make several payments  per month since I can't pinpoint when the bank reports my balance to the credit bureau's.  it seems to be a guessing game and the banks and bureaus are reporting my highest balance of the month.  Is there a way to be notified by bank when they report my credit card balance to the bureau?

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Most Helpful Response

Helpful to 55 out of 63 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)

Reply by
Pythonette

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Helpful to 9 out of 12 people

I'm sorry, will you please define "cut date" for me? Do you mean the day the billing cycle ends, the day the invoice is issued, the day it's due, or what? Thanks! I PIF every month, sometimes more frequently. Is there any advantage to paying more than once a month?

Reply by
dragonbits

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Helpful to 4 out of 4 people

For those that don't know what is meant by statement cut date.

They mean the last statement balance, which is the total charges at the end of the billing cycle.  If you pay this in total, you will incur no interest charge but the last statement balance will be reported to the credit bureaus.

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Helpful to 6 out of 10 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?

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Question about reporting balances

Helpful to 6 out of 10 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

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Helpful to 4 out of 8 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.

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772 People Helped

Helpful to 10 out of 13 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!

Top Contributor
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772 People Helped

Helpful to 2 out of 3 people

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

Reply by
baygiant11

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Helpful to 1 out of 1 people

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

Reply by
babydee78

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Helpful to 1 out of 2 people

Very helpful!

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Credit Bureau reporting and pymt Advice

Is there a way for me to check, here on Credit Karma, if my credit cards are reporting to the bureaus?  I did just get a new credit card about a month ago, and I just received an email saying that there was a new account added to my account.  Just wanted to check on myself to make sure that my credit is being built properly.

Another question I have is payment in full vs small balance carry.  I belive the best way is to pay in full.  Should I should I pay last stmt balance or the ENTIRE credit balance off?  For example, 500 is last stament balance, but you use 100 more prior to you paying your bill.  I hope that makes sense.

THANK YOU!

Reply by
ElroyPreston

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Helpful to 7 out of 7 people

Yes you can definitely see if your cards are reporting.  Just look it up on your account here.   Now here comes a LONG reply.  If you want the short version, just go to the bottom (:

As far as the full vs small, the best way is to pay in full but ONLY after you know the balance has been reported.  Let's say you have a limit of $2500.   let's say this month you've charged up $1000.   If your statement period ends  on the 10th of the month, but you've paid the bill entirely BEFORE then, then the cc company will report a 0 balance.  You can do pretty much whatever you want with your credit card if you're very familiar with the important dates.   So clearly, using the 30% rule, they say you should never go above 30% of your total limit....what they REALLY mean is to never let the REPORTED balance exceed that amount.   So knowing that, let's go again.  using the 30% rule, that technically means you want to stay under $750.   But let's say you charged up that $1000 from earlier.  If your statement period ends on the 10th of the month, you'll want to make sure you get that $1000 down to $750 BEFORE that time period.  Now, when your statement ends, let's say you put $400 towards your balance by then....your statement will end with a balance of $600 and it will be reported to the bureaus that you've used only $600 of your available limit.  There's nothing wrong with going over the 30% or even maxing out your card....but again I stress you have to have an air tight undestanding of when the statement end date is, and when it reports.  You can look at any of your account report dates on Credit Karma.  Just look at any one of your accounts and look for the "Last Reported On" date.  So if it says "Last Reported On  5/10/2016" then you know your report date is the 10th of each month for that account.  

When people say "carry a small balance" they only mean you want to have a small balance on your report at the time of the statement closing so it shows that you're actually using the credit card.  Once you know that statment end date, then you can pay it in full because any balance after that date will accrue interest.  And many times the company is really reporting your LAST balance.  I'll use one of my cards as an example.  

I have a Capital One card, $1500 total limit.  My statement ends on the 10th of every month and that's also when it reports.  The bill is due on the 7th of the following month.  So now my balance is $1200, but the 30% rule that we like to live by says I need to stay under 30% ($450) to stay in the "responsible" area of the agencies.  Now remember, my total balance is $1200, but on May 10th, my balance (from the previous cycle) was $386, so that's what got reported to the bureaus at the end of the statement cycle.  Now I have to make sure I pay that $386 by June 7th or I'll begin to incur intererst on that.  However, 3 days later on June 10th, Capital One will once again report whatever my balance is.  So if for example I pay $386 right now, my remaining balance on my billing statement from last month will now be $0 aka satisfied.  Now, I've got $814 left in charges and being that $450 is the amount that I want to stay under when it comes time to report, I'll want to pay Capital One at least another $364 before June 10th because that's when my current billing cycle ends and they'll report to the bureaus again....get it?  

SO now that I've got $814 outstanding, I'll pay them (just to be safe) $514 by the 10th.  Now on June 10th I'll get notification that my bill for the statement ending June 10th is $300, and they'll be reporting to the 3 bureaus that I'm using $300 out of my $1500 available limit.  So even though I've gone way over that 30% over the course of my billing cycle, I made sure to bring the balance down (aka carrying a small balance) at the time of reporting, and now I've got $300 due by July 7th.  Wash, rinse, repeat...get it?  The problem is when you pay minimum payments or you don't pay your full REPORTED balance, interest adds up.  Remember I said my last month bill was $386?  Let's say I only gave them $286.  I'd now have $1400 of available credit.  Now after the 7th, I'd have $1400 of available credit MINUS whatever interest they added to that $100 I didn't pay because that $100 was from last month's bill.  People get that confused all the time and as that interest builds on the last balance, it makes it harder to pay your bill, especially if you're the type to continue to swipe that card and not satisfy that last billing statement's balance.  And if you don't do it by the time they report again, they'll report that last bill as 30 days late AND you'll still be adding interest on it.   That's why the card companies want you to pay the miminums...so they can rape you with that interest. 

long winded reponse I know, but I'm wired on coffee!  a good rule of thumb is to STOP using your card once the statement ends.  then once they've reported, go ahead and pay it in full (make sure the balance is low before statement end time!!) since you've just gotten reported as a good user of credit, and now you'll have a 0 balance, a good reporting month, and you're ready to go again.  Once you're familiar with your statement end date and reporting date (and due date), you can use all the credit you want.  I use my card like crazy because I want the reward points, but I ALWAYS make sure the balance is low before statement end/report time.

SHORT VERSION:

Always make sure your last statement balance is paid in full by the due date or you'll accrue interest.  If life doesn't go your way and you can't pay by the due date, always make sure that balance is paid before the next cycle ends or they'll report you 30 days late.  So using your numbers, if 500 is your last statement balance, that's the number they report to the bureaus (which i hope is only 30% or less of your total available credit for that card).  Pay that amount.   As far as that other 100, it doesn't matter.  ALL that matters is knowing when your statement ends, and making sure your balance is low (not zero) so they can report it...THEN pay it in full by the due date.

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due date

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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?

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