Debit card daily spending limits?

Discussion in 'Teacher Time Out' started by RussianBlueMommy, Apr 4, 2018.

  1. Master Pre-K

    Master Pre-K Virtuoso

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    Yeah, you gotta do this. Otherwise, they will freak out and block your card for fraudulent activity! I once made a large deposit, and started spending money left and right. They froze my card. I called the bank and said what gives?? They said, "We noticed unusual activity on your card." Oh, you are not used to seeing me spend my money! :cool::p
     
  2. Master Pre-K

    Master Pre-K Virtuoso

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    Again, that's why they are called EXs o_O
     
  3. Master Pre-K

    Master Pre-K Virtuoso

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    I realized this every time my pain-in-the-butt sister wanted to take me out to eat. She was racking up points and cash back and rubbing her cash in my face.
     
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  4. futuremathsprof

    futuremathsprof Phenom

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    Yeah, I didn’t even know you could pay bills with a credit card. I’ve never heard of that until now so it never crossed my mind. I just do auto-debit for all my bills, so I don’t even think about it. However, I may switch them to my credit card to build up those points and rewards!
     
  5. mathmagic

    mathmagic Enthusiast

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    Yep - my wife and I solely use our credit cards. Almost 5% on all gas purchases, 3.5ish% on groceries (or stuff bought at the grocery store), 2%ish back on other stuff...adds up to a lot of extra money. But we also are really good with money - no debt, no balance on cards that will accrue interest (we sometimes leave a bit for when the statement comes out - just to show the utilization in terms of credit score)...just lots of "free" money!
     
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  6. Ima Teacher

    Ima Teacher Maven

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    My mom bought her car with her Discover card, then paid it off the next month . . and earned all of that cash back to boot. She pays everything with her Discover card for the cash back. It's way easier for her to pay one bill per month that multiples.
     
  7. futuremathsprof

    futuremathsprof Phenom

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    You have no mortgage?! Well done!
     
  8. kpa1b2

    kpa1b2 Aficionado

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    After going on vacation one year and having our bank card denied, because they thought it wasn't us, that's what we do. We're even more careful after someone tried to file unemployment in my husband's name.
     
  9. whizkid

    whizkid Habitué

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    Oh yea you definitely want to do that. I actually have a separate savings account that I place all of my cash back into just to see how high I can go.
    I use various cards for various expenses to get the maximum back. Been doing this for five years now.
    Directv-Citi DC (2%)
    Home phone/internet-Citi DC
    Gasoline-Discover It or Chase Freedom (5% during first quarter or quarter designated for gasoline to get 5%), Bank of America (3% rest of year)
    CellPhone-Citi DC
    Groceries- Discover It or Chase Freedom (Usually second quarter), Amex BCE rest of the year (3%)
    Amazon.com-Amazon Prime Visa Rewards (5% if purchasing directly from Amazon or vendor that Amazon fulfills orders for)
    Yes, it's that serious.
     
  10. Master Pre-K

    Master Pre-K Virtuoso

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    My thing is, I want to keep my credit cards open for emergencies. You need a certain amount to rent a car, a carpet shampoo rental, or a moving truck. I might be doing things backwards, but I know I can get cash easily through cash advances off my credit card and/or my line of credit at my credit union. And, the more charges you have on your credit the more your credit report looks weird because your outstanding balances are high.
     
  11. whizkid

    whizkid Habitué

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    The amount of the balance isn't important. What is important is the utilization, or the amount of the balance divided by the total amount of credit. The key is to try to keep this number under 30%. A $10,000 balance may seem like a lot, but if the total amount of available credit on all of your cards is $100,000, your utilization is only 10%. Of course, if the available credit is $20,000, then the utilization is 50% which can drop your FICO score. I like keeping my utilization under 10% on each card and overall.
     
  12. Master Pre-K

    Master Pre-K Virtuoso

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    My daughter and I still have one card together. She runs a small bill, so that makes my amount owed increase too. It made my FICO score drop 40 points! I asked her about and she said not to worry. I said take my name off and she said, well it's a long standing account and it would make things worse for me. Is that true??
     
  13. whizkid

    whizkid Habitué

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    Is that your only credit card?
     
  14. mathmagic

    mathmagic Enthusiast

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    Oh, I wish. We're looking to buy a house, but house prices are ridiculous in our area...and I'm also very attached to the school/district I'm at (when you have a good thing...).

    That being said, because we've had trouble finding a house, we've saved up tons. Almost tempting to move to the mid-west and outright buy a nice house, but we love the area too much (and our family is all around here).
     
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  15. Master Pre-K

    Master Pre-K Virtuoso

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    no, I have a few
    why?
     
  16. Master Pre-K

    Master Pre-K Virtuoso

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    Don't come to IL.... we won't let you keep your social security!!
     
  17. whizkid

    whizkid Habitué

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    I asked because depending on the amount of the balance, your utilization increased and likely increased to a percentage to make your FICO drop. Although you have multiple cards, the balance must have pushed your utilization pretty high. I know having only one card could easily do this, but can also occur even with having multiple cards.
     
  18. whizkid

    whizkid Habitué

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    If you took your name off of that card, it would affect not only your total card utilization, it would also affect your average age of accounts since its an account with a long history. When your statement cuts, the cc company reports any balance to the credit bureaus. If that balance runs your utilization to up over 30%, it could force your FICO score to drop. Of course, FICO scores are like weight and constantly change.
     
  19. Master Pre-K

    Master Pre-K Virtuoso

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    Ok, I see. I check my credit pretty regularly and I was a bit worried. She said she would pay it, and I shouldn't worry. I want to trust my daughter's judgement, as she is in finance! :rolleyes:
     
  20. whizkid

    whizkid Habitué

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    Once the balance is paid off or down before the next statement cuts, the cc will report it and your score will go back up........just like cutting sugar and salt and your weight drops.

    Of course, for FICO scoring purposes, you always want one card reporting a balance with less than 10% utilization to show the bureaus regular card usage and that you're managing it well. Doesn't have to be exact, just somewhere in that range. Your score matters most when you want to take out new credit, so it's not something to fret over constantly.
     
  21. whizkid

    whizkid Habitué

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    That's what I should have gone to school for!
     
  22. futuremathsprof

    futuremathsprof Phenom

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    Tell me about it. I could go out and buy a nice house in several other parts of the country, but I love California too much! It’s the price I pay. Literally.
     
  23. Master Pre-K

    Master Pre-K Virtuoso

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    She has an MBA and drives a Mercedes Benz.

    sigh....if only
    I wonder some days...should I have pushed myself more, rather than doing all I could to make her life better.

    Where did it leave me?? You always want more for your children, but....

    There's another thread in there somewhere...
     
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  24. RussianBlueMommy

    RussianBlueMommy Comrade

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    We got the cashier check squared away, sent overnight and finally today I see paid in full and closed!!! WOO HOO!!
     
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  25. Master Pre-K

    Master Pre-K Virtuoso

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    Great, now you can Zelle or Quick Pay all of us $10....:D
     
  26. futuremathsprof

    futuremathsprof Phenom

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    Awesome, congrats!
     
  27. futuremathsprof

    futuremathsprof Phenom

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    Haha!
     
  28. RussianBlueMommy

    RussianBlueMommy Comrade

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    Thanks!! Rounds of Apple juice for all
    Seriously though, it feels nice to take a step toward being debt free. Next stop, student loans which have not become due yet even.

    I wonder if getting The car paid off will raise my credit score?
     
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  29. futuremathsprof

    futuremathsprof Phenom

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    I love apple juice, haha!

    It may or it may not raise your credit score. To demonstrate. I paid off my last car in 1.5 years and my credit score dropped...! Credit companies always have some lame excuse for lowering your score. The strange thing is that my utilizations are all low to zero. For example, on one of my credit cards the credit limit is $6,500. I almost always carry a zero balance on that card, but I recently used it to make a $288 purchase to get cash back and to accumulate points. I checked my credit report on Credit Karma and it lowered my score (currently 799) 14 points. I was really upset, to say the least. The utilization (4.43%) is well under 30%, so what gives?! Plus, I’ve had a credit history of 8+ years and numerous other cards with zero balances and I paid off my student loans, too, but they still lowered it.

    Back to your post, you should definitely pay off your car, that is, if the interest rate is higher than that if your student loans. If, however, your student loans have higher interest rates, you might want to consider paying those off first. If you are set on paying off your car first, then start attacking those student loan(s) with reckless abandon afterward. Pay triple and quadruple the minimum payment if you can and you will take years off the length of the loan(s).
     
  30. RussianBlueMommy

    RussianBlueMommy Comrade

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    The car was 18% interest. Had to be paid off ASAP the student loans are roughly 3 to 4%
     
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  31. Master Pre-K

    Master Pre-K Virtuoso

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    I want to pay off my car too. Then I’ll only have student loans and mortgage, and credit cards.
     
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  32. futuremathsprof

    futuremathsprof Phenom

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    Definitely pay off that car loan, then!
     
  33. ChildWhisperer

    ChildWhisperer Groupie

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    Having loans actually helps your credit score sometimes, because it shows you can make a payment every month and blah blah blah.
    I paid off all my car & school loans by the time I was 27 so I've had no loans out for the past three years. I remember my credit score going down a little bit once I was debt free.
    I just try to use my credit cards when I can and pay that off in full every month. That helps.
     
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  34. futuremathsprof

    futuremathsprof Phenom

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    How much left on the student loans, mortgage, and credit cards?

    I owe $7,800 on my car loan — I originally intended to pay $980/month for the next ten months to pay it off, but I decided to pay $3,000 a month because it’s almost gone anyway.
     
  35. futuremathsprof

    futuremathsprof Phenom

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    I know, right? Same.
     
  36. whizkid

    whizkid Habitué

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    That's actually an educational score, it's not a FICO score though the credit report itself is accurate. A bank will have your true credit score(s), that and the FICO site itself.

    As crazy as this sounds, the reason your score dropped is because you probably no longer have an installment loan on your credit report. FICO likes seeing a mix of installment and revolving credit. I know, a punishment for paying off a loan. Isn't the system great? ;)
     
  37. futuremathsprof

    futuremathsprof Phenom

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    Oh, I did not know this! Well, that’s America for you, lol!
     
  38. Master Pre-K

    Master Pre-K Virtuoso

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    Apple-white grape juice for me.

    Daughter taught me how to do online banking. OMG, how did we ever get along without that? o_O Oh yeah... a pencil, calculator and a bunch of receipts.

    I wasn't always paranoid about my credit, but every blue moon I would apply, and get denied, and be po'd. Then I would get a copy of my credit report and, what the heck is this? And what's that? I had to get some mess off of there. And let some things go. So, yeah, I check my credit, because there's been some pretty wild stuff on there.

    If I didn't move so much, I would probably be more stable in my work, and have a better income, and less debt. But hey, such is life.
     

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