Do you pay the entire bill before the statement closes?
#16
In Memoriam
Join Date: May 2001
Location: Southern California
Programs: Hertz 5 star, Priceline Hotel bidder. AA PLT, 1MM.
Posts: 2,910
If I am applying for a mortgage, then I would pay off before the statement is cut. Otherwise, I just pay off before the due date. I always pay my cards in full.
#17
Join Date: Mar 2008
Location: AUS TUS
Programs: AA PLT, UA GLD
Posts: 993
#18
Join Date: Jul 2001
Location: DTW
Programs: Dirt Status w/ All
Posts: 5,040
I agree - and paying the balance before closing will probably only help if you are on the bubble of a magic score. I just redid my HELOC and ended up getting hit with an extra 1/2 point on the interest rate because my FICO came it at 711. Of course I did an AOR several months before, had a bunch of CC debt showing on my report (all 0%), along with a new car loan and a couple new credit cards in the month before I applied. It is not a big deal since the HELOC is only emergency parking if I need it for the 0% money since I used it to pay off the car. Lesson learned is to do mortgage stuff before other credit games.
#19
In Memoriam
Join Date: May 2001
Location: Southern California
Programs: Hertz 5 star, Priceline Hotel bidder. AA PLT, 1MM.
Posts: 2,910
Normally, anything over 720 FICO for owner occupied would be treated about the same for mortgage rates/points. For rentals, the standards are more stringent.
If debt to income ratios are tight, paying before the statement cuts would help. Even a rewards card where the spend is say 3K/month would have a $60/month min payment even though it always is PIF.