Does making two payments boost your credit score?

Do double payments improve credit?

Double payments? Credit score boost. Simple.

• Avoids late fees. Seriously.
• Stellar payment history. Guaranteed.

My Amex? Zero issues. 2023's flawless record.

Is it better to make one or two payments on a credit card?

Okay, so you wanna know if paying your credit card once or twice is better, huh? Listen, I've been messing with credit cards since, like, 2018... lol.

Basically, paying more often, like twice a month, helps keep your credit utilization down. I mean, it just does. Think of it like this.

• Lower Utilization: Less of your available credit used = good.

See, credit bureaus, Equifax and TransUnion, get reports. Those determine credit scores.

And get this, paying more can help you not go overboard on spending! I know I would. Trust me, it's worth it. Plus, it helps with budgeting.

• Track Spending: Easier to see where your money's going.

• Prevent Debt: Catch overspending BEFORE it's a problem. So, yeah, do that.

Two payments? I recommend it.

Why did my credit score drop 40 points after paying off debt?

Okay, so boom, my credit score tanked like a lead balloon after FINALLY paying off my student loans. I was estatic though.

It was last November, feels like a lifetime ago. I'm talking a 40-point drop! Seriously! Wtf!!

I was at my apartment in Brooklyn, checking my Credit Karma app, feeling all smug. Then, bam! My smugness evaporated faster than spilled coffee in the desert. I almost threw my phone. Almost.

Turns out, according to what some finance dude said on youtube, paying off the debt made my average credit age younger. I guess I'm old now. Great.

And because the student loans were, like, my only installment loan, it messed with my "credit mix." Whatever THAT means. Maybe I shoudl apply for some loans again.

Plus, right before that, I tried to refinance my car loan. Obviously, they did a hard inquiry on my credit. That's probably what sealed my score's doom. No more dreams of refinancing for now. Fml.

Here's the lowdown of what I learned (the hard way):

• Credit age matters: The longer you've had credit accounts open, the better.
• Credit mix is a thing: Having different types of credit (credit cards, loans, etc.) can help.
• Hard inquiries hurt: Applying for new credit can ding your score, even if you are credit worthy.

I was really happy paying my student loans but it also was a major bummer, it dropped my credit score. It is what it is.

What is the 5 24 rule for credit cards?

5/24? Chase's wall. Five cards in 24 months? Denied. Simple. Cruel. Effective.

• Chase enforces it. Others, not so much. My Amex approved me easy after that Capital One debacle.
• Applies to most Chase cards. Not all. Ink biz cards? Often spared. Maybe.

Consider:

• Business cards count. Even if they dont report to credit bureaus. Brutal.
• Authorized user accounts usually excluded. A small mercy.
• 24 months is measured from opening date. Note it.

Strategic Implications:

• Plan your apps. Chase first, then others. Minimize rejection.
• Targeted offers sometimes bypass it. Rare. Valuable.
• It shifts strategy. You need focus to get Chase.

Does the 15-3 rule really work?

Oh, the mythical 15/3 rule! Does it work? Well, as well as my attempts at interpretive dance at family reunions work – enthusiastically, yet questionably effective.

• The 15/3 credit card "hack" suggests making two payments: one 15 days before, and another 3 days before your due date. Supposedly, this is credit score magic.

• Don't count on miracles. This won't magically boost your payment history. Pay on time! It's less flashy, I know.

• Credit utilization (the amount of credit you're using) isn't swayed by timing. It's how much credit you use. I learned this the hard way... with shoes. So many shoes.

• The best approach? Automate payments. Boom. Adulting achievement unlocked.

So, while the 15/3 rule is… creative… simplicity wins. Think of it as trying to herd cats with a laser pointer. Possible? Yes. Efficient? Absolutely not.

Why is there a 3% charge on credit cards?

That 3% credit card surcharge? Pure capitalist genius, really. Think of it as a tiny tax on instant gratification. You want that latte now? Then cough up the extra pennies. It's like paying extra for the privilege of not having to carry around a wad of cash — a modern-day tribute to laziness.

Businesses aren't charities, honey. They have bills to pay, too. Processing those credit card transactions costs money. This fee helps offset those costs. It's not theft, it's... a sophisticated way of making sure your avocado toast doesn't bankrupt them.

Key Points:

• Merchant fees: These are real, and they sting. Visa, Mastercard, and Amex aren't doing this out of the goodness of their hearts. They take a cut, and businesses pass that on. Sometimes the cut is even higher than 3% for certain businesses.
• Profit margins: It's not just about covering costs. A tiny percentage here and there adds up. Especially in the current economic climate. My friend Sarah's bakery swears she's making 90% of her profit from credit card surcharges. I doubt it's that high, but you get the point.
• Consumer choices: Ultimately, you are voting with your wallet. If you hate surcharges, pay cash. Then again, carrying all that cash is just such a hassle, isn't it? It's a vicious cycle of modern convenience.

I personally use my Chase Sapphire Reserve card for everything. Its rewards program partially offsets these fees. Smart, right?

My uncle, however, pays cash. The Luddite.

Also, it's 2024, not 2004. Inflation is a thing. Fees have likely risen since then.

How does cash back work on a credit card?

It's late. Cash back... feels like finding forgotten money in an old coat.

You spend money. Right? Like always. On stuff.

• Groceries from Kroger.
• Gas for my old Toyota.
• Bills, always bills.

Then, the credit card company, they give you a percentage back. It's usually small.

• 1%. Maybe 2%. Sometimes more on certain things.

It’s like a tiny reward. Almost makes you forget about all the spending. I used mine to buy that stupid coffee machine, thinking it would make life better. It didn't.

You can get the cash back as a statement credit. Or a direct deposit. Some cards offer other options. Gift cards, maybe.

But mostly, it's just a little something. A ghost of the money you already spent. Is it worth it? I don't know anymore.

Why is my credit score going down when I pay everything?

Seriously? Paying bills lowers your score? Makes as much sense as a screen door on a submarine! But, hey, that's credit scores for ya.

Basically, think of your credit score like a needy Tamagotchi. You gotta keep feeding it new credit... even if you don't need it!

Closing accounts? Big mistake! It's like telling the credit gods, "Nah, I'm good. I don't need your shiny plastic." Bad move.

Credit utilization ratio? A fancy term for "how much of your available credit are you using." Keep it low, like, super low. Think of it as only dipping your toe in the pool of credit, not diving in headfirst like Scrooge McDuck in his money bin.

• Fewer open accounts = higher credit utilization (relatively speaking).
• Paying off loans = closed accounts.
• Closed accounts = sad credit score (potentially, maybe, who knows?).

Open accounts are like little gold stars on your credit report. You need a constellation of them. Even if you're just using a credit card to buy, say, a single gumball each month and then paying it off immediately. Seriously, it's that dumb.

Here’s the tea, and I swear it's hotter than my aunt's gossip at Thanksgiving dinner. My own credit dipped a bit after I paid off my car. I was like, "WTH, credit score? I just gave you, like, a mountain of cash." Apparently, that’s not how it works.

Basically:

• Keep some credit cards open, even if they just gather dust.
• Use them sparingly.
• Pay them off religiously.
• And don't ask me why any of this makes sense. It doesn't. It just is.
• Also, sign up for Credit Karma, or whatever that free credit monitoring thing is. It will make you feel slightly more in control, even though you really aren't.
• It's like trying to herd cats in a tornado. Good luck!
• The system just keeps you in debt, just like the politicians. That's how they roll!

How do I claim cash back rewards on my credit card?

So, you wanna grab that sweet, sweet cashback, huh? Think of it like wresting money from a dragon – except the dragon is your credit card company and the treasure is, well, your own money.

1. Statement Credit: This is like magic! Poof! The cash is gone from your debt, not your bank account. It's easier than training a cat to use a litter box.

2. Direct Deposit or Check: This is the grown-up way, like finally paying your taxes. You get your money, but it's less exciting than a surprise pizza party. Expect it in your account, or a check in the mail within 7-10 business days, sometimes even sooner, depends on the bank, though. My neighbor Mildred got hers in 3 days last month – lucky dog!

3. Gift cards: This is like getting cashback, but with extra steps! It’s a decent option if you are planning to buy something at Target or Starbucks anyway! Think of it as a slightly less awesome version of getting actual cash. Unless it's for that new video game you've been eyeing, then it's awesome. My son, Timmy, uses his cash back this way. He’s addicted to Fortnite!

My Chase card uses method 1 and 2, while my wife's Capital One card offers all 3 options. It's a crazy card-related world, I tell ya!