pay over time

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linuxmachine
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pay over time

Postby linuxmachine » Tue Mar 04, 2014 12:16 am

I got a bonus offer of 10k Mr points to enroll in pay over time. Is there any downside to this? Not sure why anyone wouldn't unless you want to keep yourself from carrying over a balance. Just wanted to see if Im missing anything


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Z06Biker
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Postby Z06Biker » Tue Mar 04, 2014 1:20 am

Nope. I did it and received 10k MR points as promised. No catch.
AMEX: PRG Gold, Business Simply Cash, Business Costco, BCE.
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MemberSince99
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Postby MemberSince99 » Tue Mar 04, 2014 6:32 am

The downside would be if you actually DO fall into the trap and pay over time, at whatever interest rate you got on the card. If you never do it, free points.


Even with the interest aside I wouldn't do it anyway we all know Amex prefers PIF behavior. A little bit here and there would probably be "ok" but treating it like a revolver probably won't endear you to them even if they offer you the ability to do that. Where that might rear it's head who knows most likely with CLIs on revolvers and your internal risk/limit.

thom02099
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Postby thom02099 » Tue Mar 04, 2014 8:45 am

Yup, in complete agreement. Besides the higher interest rate than offered elsewhere, it would seem that, using this feature, one would be drawing unnecessary attention to one's transactions. AMEX keeps a tight rein on their "regular" accounts, having this added feature, while nice, should be a bit of a warning to use it very judiciously. I have it on my Gold card, have never used it. IIRC, this used to be the old "sign and travel" feature from AMEX on the chargers, carrying a travel balance. I remember at that time, they really, really didn't like it if that balance went to 6 months or more. No reason to believe that anything has changed.
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linuxmachine
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Postby linuxmachine » Tue Mar 04, 2014 10:21 am

From amex's perspective I am not sure why they would want you to PIF with the pay over time option? Wouldn't the motivation for this benefit be to spend more money than usual by allowing you to carry over your balance? It gives ifbthe impression that actually using this benefit is desired as long as it isn't on a consistent basis. Perhaps you splurge on a summer trip here, or a Christmas shopping spree there. Carry over a few months out of the year and you are their ideal target. Spend more. Pay more. Still keep confidence in paying your debt.

However, I value your reasoning. 10000 MR points isn't very much. I think I will pass and leave the card alone. If anything I'm starting to reconsider having any amex charge cards. I hope they come up with a better product line later this year. Otherwise I may decide on tossing the personal one and switching to business. I've a few app ideas I'd like to try and I'll make the most of ot I guess.

Thanks for the feedback. Much appreciated

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Z06Biker
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Postby Z06Biker » Tue Mar 04, 2014 5:58 pm

You guys do realize that by adding the pay over time feature, it's not transforming the Platinum into a revolver; you can still pay in full the way we always have, and should continue to. It simply means you have the option now. But, if $100 free money isn't worth the possible temptation on your willpower, by all means, pass it up.
AMEX: PRG Gold, Business Simply Cash, Business Costco, BCE.
Chase: United MileagePlus Club, Sapphire Preferred, Amazon Rewards
Barclaycard Arrival World Mastercard
HSBC Cash or Fly World Mastercard
USAA World Mastercard, USAA Platinum Mastercard
Wells Fargo Business Platinum
USC Credit Union Mastercard



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