Credit Cards

Paying my Amex

  • Last Updated:
  • Aug 14th, 2021 6:20 pm
Tags:
None
Deal Expert
User avatar
Jan 9, 2011
15792 posts
21525 upvotes
Vancouver
hubbabubba73 wrote: To wrap up, what I decided to do:

I opened a 2nd Tangerine Chequing that I will dedicate to paying my Amex.
Set up etransfer auto-deposit
e-transfer from TD after I spend
pay Amex from that account.

Bob's my uncle.
Sounds like a lot of work but OK, I'm glad you found something that works for you.
Deal Fanatic
User avatar
Mar 10, 2018
5128 posts
1594 upvotes
does it matter?
hubbabubba73 wrote: Not sure if this belongs in Personal Finance or Credit Cards. Apologies in advance if I am off.

Coming from my TD card and banking at TD, I would always walk out of the grocery store and log into the TD app and transfer over the amount I just spent on my TD Visa. I just know myself, and its better to move the money out of my chequing. Helps me stay on relative budget.

Got my first Amex Cobalt a few weeks ago, and I find that I cant make an "overpayment". I keep getting an error along the lines of "that amount is more than the amount of 0 that is owing".

Will that change after I am able to make my first month's payment? Or do I need to come up with another method?

Right now I am just moving the same amount into a savings account that I had sitting in TD, plan to just move the amount back and the end of the month and pay the bill but that seems like alot of extra steps.
serious question. Why do you use credit card if paying right away? At least keep the "Credit" for few days.
After it is credit card and not use as a debit card. But I am sure you have your own reasons.
Tried new coffee and doughnut. Found same old stale thing. expected bill of six bucks but it was 600 million. Big mistake so the guy said don't worry it is on the house. going back to McD.
Deal Fanatic
User avatar
Jan 4, 2011
6044 posts
7474 upvotes
Montreal
callernamet wrote: serious question. Why do you use credit card if paying right away? At least keep the "Credit" for few days.
After it is credit card and not use as a debit card. But I am sure you have your own reasons.
As has been mentioned a couple times in this thread: it's for the rewards. Why would someone use debit, when he/she can use a credit card and earn rewards? The fact that one pays a credit card off right away has no bearing on anything. Not everyone needs the 20-30 day grace period that credit cards provide.
Deal Fanatic
User avatar
Mar 10, 2018
5128 posts
1594 upvotes
does it matter?
efrant wrote: As has been mentioned a couple times in this thread: it's for the rewards. Why would someone use debit, when he/she can use a credit card and earn rewards? The fact that one pays a credit card off right away has no bearing on anything. Not everyone needs the 20-30 day grace period that credit cards provide.
And someone on RFD will say use that money for 15-20 days and make more money. paying immediately is useless.
I have seen Amex has changed some wording that you can not pay before or more than bill. It is on their monthly bill I think and can be checked exact wording.
Tried new coffee and doughnut. Found same old stale thing. expected bill of six bucks but it was 600 million. Big mistake so the guy said don't worry it is on the house. going back to McD.
Deal Fanatic
User avatar
Jan 4, 2011
6044 posts
7474 upvotes
Montreal
callernamet wrote: And someone on RFD will say use that money for 15-20 days and make more money. paying immediately is useless.
I have seen Amex has changed some wording that you can not pay before or more than bill. It is on their monthly bill I think and can be checked exact wording.
Of course. One could take that money put it in a savings account at (2% or whatever the going rate is) and earn the after-tax interest. Say the average person puts $2-3k on a credit card a month, at 2%, they'll get less than $25-40/year. This is RFD after all, and people like to squeeze every penny out of everything. Nothing wrong with that. For others, it helps them budget when they pay off the card immediately. Nothing wrong with that either. For others, $25-40/year isn't even relevant when they are pulling in thousands of dollars of rewards a year. Nothing wrong with that either. To each their own. But to say that someone who uses a credit card and pays it off immediately should be using a debit card instead doesn't make any sense IMO.

As for Amex, you are able to pay (or overpay) your card whenever you want, as long as you are using bill pay from your bank, and not debiting your bank account from your Amex account.
[OP]
Jr. Member
Aug 2, 2021
183 posts
199 upvotes
callernamet wrote: serious question. Why do you use credit card if paying right away? At least keep the "Credit" for few days.
After it is credit card and not use as a debit card. But I am sure you have your own reasons.
As I mentioned previously in the thread. I made over $700 worth of points last year doing this. With a crappier rewards card, never mind something better like the Cobalt.

I would not have made that putting the funds in a HISA for a month. Unless you have a suggestion for a different HISA?
[OP]
Jr. Member
Aug 2, 2021
183 posts
199 upvotes
efrant wrote: Of course. One could take that money put it in a savings account at (2% or whatever the going rate is) and earn the after-tax interest. Say the average person puts $2-3k on a credit card a month, at 2%, they'll get less than $25-40/year. This is RFD after all, and people like to squeeze every penny out of everything. Nothing wrong with that. For others, it helps them budget when they pay off the card immediately. Nothing wrong with that either. For others, $25-40/year isn't even relevant when they are pulling in thousands of dollars of rewards a year. Nothing wrong with that either. To each their own. But to say that someone who uses a credit card and pays it off immediately should be using a debit card instead doesn't make any sense IMO.

As for Amex, you are able to pay (or overpay) your card whenever you want, as long as you are using bill pay from your bank, and not debiting your bank account from your Amex account.
This is my reasoning exactly. I like the amount to be out of my main account so I can keep better track of my monthly spending and it was a bit easier when I was using a TD account with a TD card. I was just looking for an alternative.

I didn't realize it was going to be so controversial. I was just looking for a different method besides Pay a Bill x20 per month.

Thanks to everyone who gave some constructive ideas.
Deal Fanatic
Dec 16, 2005
6420 posts
4627 upvotes
Also credit cards provide insurances that debit cards don't

Not sure why people have a problem with someone who doesn't wait to pay off the charges.
Deal Expert
User avatar
Jan 9, 2011
15792 posts
21525 upvotes
Vancouver
mech9t5 wrote: Also credit cards provide insurances that debit cards don't

Not sure why people have a problem with someone who doesn't wait to pay off the charges.
I don't think anyone has a problem, it's just people wondering why since it is unusual. I'm sure the OP has his reasons and if they work for him, good for him.
Deal Addict
Apr 16, 2015
1019 posts
1308 upvotes
hubbabubba73 wrote: I opened a 2nd Tangerine Chequing that I will dedicate to paying my Amex.
Set up etransfer auto-deposit
e-transfer from TD after I spend
pay Amex from that account.
That does sound like alot of extra work, especially if, like me, you make several purchases every day (I literally pay for every purchase on a points credit card - from a $2 cup of coffee, to monthly bills, to major purchases). I just check all my balances on pay day and use my bank's bill payments to pay off whatever I've spent without waiting for a statement). But, if this method helps you keep track of your spending, there's nothing wrong with that.
[OP]
Jr. Member
Aug 2, 2021
183 posts
199 upvotes
catsoncoffee wrote: That does sound like alot of extra work, especially if, like me, you make several purchases every day (I literally pay for every purchase on a points credit card - from a $2 cup of coffee, to monthly bills, to major purchases). I just check all my balances on pay day and use my bank's bill payments to pay off whatever I've spent without waiting for a statement). But, if this method helps you keep track of your spending, there's nothing wrong with that.
I am new to RFD and I might have been a little too literal :)

When I am sitting in the car after a $275 grocery shop I would open the TD and transfer. Not necessarily on a street corner after getting a coffee and then while I am waiting for a slice to warm up at the pizza shop and then when I am getting my afternoon coffee etc.

A more accurate description would be that I regularly paid off my "Pending Transactions" before they posted.

I am getting more understanding of why people think it would be more work. I should have been more clear. More like daily or bi-daily rather than 8 times per day.
Deal Fanatic
Jan 19, 2017
7677 posts
4482 upvotes
Kiraly wrote: I don't think anyone has a problem, it's just people wondering why since it is unusual. I'm sure the OP has his reasons and if they work for him, good for him.
It is called self control because he can not control how much he can spend and has no idea how much he has fund to pay for his spendings.
I have some friends who wrote cheques and don’t Keep track of it. So when they check their acct balances and see the Acct has money because the cheque has not been cleared yet, they just spend the money because they have no idea how much they real have in their accts.
I think people are just lazy without keeping track of their finance.
Last edited by ml88888888 on Aug 14th, 2021 5:40 pm, edited 1 time in total.
Deal Fanatic
User avatar
Mar 10, 2018
5128 posts
1594 upvotes
does it matter?
hubbabubba73 wrote: As I mentioned previously in the thread. I made over $700 worth of points last year doing this. With a crappier rewards card, never mind something better like the Cobalt.

I would not have made that putting the funds in a HISA for a month. Unless you have a suggestion for a different HISA?
No I have absolutely no problem with any of this. I was just wondering why buy on CC and after few mts pay immediately. defeats the term Credit Vs using as points card.
I was honest and no ill intentions.
off topic I know few people who have used min payment on bill as Pay only that as IT Is the Bill. Never knew the 18% or 24% interest on balance+balance.
And in deep deep hole. No jokes.
ml88888888 wrote: It is called self control because he can not control how much he can spend and has no idea how much he has fund to pay for his spendings.
LOL.
Tried new coffee and doughnut. Found same old stale thing. expected bill of six bucks but it was 600 million. Big mistake so the guy said don't worry it is on the house. going back to McD.
[OP]
Jr. Member
Aug 2, 2021
183 posts
199 upvotes
ml88888888 wrote: It is called self control because he can not control how much he can spend and has no idea how much he has fund to pay for his spendings.
I have some friends who wrote cheques and don’t Keep track of it. So when they check their acct balances and see the Acct has money because the cheque has not been cleared yet, they just spend the money because they have no idea how much they real have in their accts.
I think people are just lazy without keeping track of their finance.
I think your reading comprehension skills may need some work friend.
Deal Fanatic
Jan 19, 2017
7677 posts
4482 upvotes
hubbabubba73 wrote: I think your reading comprehension skills may need some work friend.
Can you explain in more detalls?
[OP]
Jr. Member
Aug 2, 2021
183 posts
199 upvotes
ml88888888 wrote: Can you explain in more detalls?
I may be new but I know a troll when I see one.

Have a great day with your highly developed self control.
Deal Fanatic
Jan 19, 2017
7677 posts
4482 upvotes
hubbabubba73 wrote: I may be new but I know a troll when I see one.

Have a great day with your highly developed self control.
One more for you to Consider. People who are good in keeping track of one’s finance, would pay off each month’s Statement Balance due and never spend more then they can afford. If you can do that, there is no need to make payments every day to your crèdit Card acct.

Top