Topic Wiki

What do you do?  Let $2 report on a single credit card.  All of your other cards should report $0, which means you must pay them to $0 before the statements close.

Why $2?  Because you want the lowest amount possible to report that is greater than $0.  $2 is the most reliable number to use that will generally report and not be credited to $0.

Does this work with any cards? Do not do this with Chase, Discover or charge cards.  Chase often updates mid cycle if you pay a balance to $0, leaving you with nothing reporting.  If you want to use Discover, you need to use $3 because they will credit $2 to $0.  Charge cards are counted much differently for utilization, and it varies by scoring model.

But MyFico and CreditKarma say that my utilization is 0%.  Credit Karma is a FAKO, and although even MF will give you this number as a percentage, it is calculated as a ratio by FICO.  $2 counts as usage.

What is the goal of the $2 trick?
  The goal is to get the most points possible out of FICO for the utilization portion of your scores AND to maintain it all the time.  The "all the time" part is the reason you don't use Chase cards.


More Detailed Explanation At CreditBoards

https://creditboards.com/forums/index.php?showtopic=544017

$2 Trick Will Not Work With A Charge Card https://creditboards.com/forums/index.php?showtopic=557648


Author Topic: $2 trick to increase FICO score.  (Read 113322 times)

Offline Cappy

  • Dansdeals Platinum Elite + Lifetime Silver Elite
  • *****
  • Join Date: Jan 2015
  • Posts: 716
  • Total likes: 39
  • DansDeals.com Hat Tips 3
    • View Profile
  • Location: NY
Re: $2 trick to increase FICO score.
« Reply #340 on: February 26, 2016, 12:51:46 PM »
Don't use a charge card for the $2 trick.

Yup. ;D Here's a thread from creditboards regarding this https://creditboards.com/forums/index.php?showtopic=557648&hl=


Online hide4

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Oct 2015
  • Posts: 1438
  • Total likes: 29
  • DansDeals.com Hat Tips 2
    • View Profile
  • Location: NY-Israel
Re: $2 trick to increase FICO score.
« Reply #341 on: February 26, 2016, 12:53:52 PM »
Called to pay my $2 balance, the rep just credited my acct  ;D (Another reason for the $2 trick!)
Which bank?
Amex

Offline Cappy

  • Dansdeals Platinum Elite + Lifetime Silver Elite
  • *****
  • Join Date: Jan 2015
  • Posts: 716
  • Total likes: 39
  • DansDeals.com Hat Tips 3
    • View Profile
  • Location: NY
Re: $2 trick to increase FICO score.
« Reply #342 on: February 26, 2016, 12:59:00 PM »
Updated Wiki

Online hide4

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Oct 2015
  • Posts: 1438
  • Total likes: 29
  • DansDeals.com Hat Tips 2
    • View Profile
  • Location: NY-Israel
Re: $2 trick to increase FICO score.
« Reply #343 on: February 26, 2016, 12:59:52 PM »

Offline newdealseeker

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Aug 2014
  • Posts: 391
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: United States
Re: $2 trick to increase FICO score.
« Reply #344 on: April 06, 2016, 01:20:17 AM »
Called to pay my $2 balance, the rep just credited my acct  ;D (Another reason for the $2 trick!)
Chase rep just conveniently let me pay the $2 balance with bank account of my choice....

Offline newdealseeker

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Aug 2014
  • Posts: 391
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: United States
Re: $2 trick to increase FICO score.
« Reply #345 on: April 06, 2016, 01:21:04 AM »
If I pay my balance by the due date but there are no charges by that time so the account balance is not brought down to 0, will Chase still report it mid-cycle?
For example, I left a $2 balance 1 month, and charged $50 after closing, then I pay $50 by the due date, the balance will be down to $2 again. Is that the right way to do it?

Offline yitrap

  • Dansdeals Presidential Platinum Elite
  • ********
  • Join Date: Apr 2014
  • Posts: 3288
  • Total likes: 55
  • DansDeals.com Hat Tips 1
  • Gender: Male
    • View Profile
Re: $2 trick to increase FICO score.
« Reply #346 on: April 06, 2016, 02:52:51 AM »
If I pay my balance by the due date but there are no charges by that time so the account balance is not brought down to 0, will Chase still report it mid-cycle?
For example, I left a $2 balance 1 month, and charged $50 after closing, then I pay $50 by the due date, the balance will be down to $2 again. Is that the right way to do it?
It's been mentioned a couple of times, don't use Chase for this.

Offline noturbizniss

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: Dec 2012
  • Posts: 7116
  • Total likes: 140
  • DansDeals.com Hat Tips 4
  • Gender: Male
    • View Profile
  • Location: North Jersey
Re: $2 trick to increase FICO score.
« Reply #347 on: April 06, 2016, 06:46:55 AM »
If I pay my balance by the due date but there are no charges by that time so the account balance is not brought down to 0, will Chase still report it mid-cycle?
For example, I left a $2 balance 1 month, and charged $50 after closing, then I pay $50 by the due date, the balance will be down to $2 again. Is that the right way to do it?

It's been mentioned a couple of times, don't use Chase for this.
Only because they report pic immediately. I think the question is if it closes at 2 and then yiu add charges and never actually pif, do they update new balance, or keep at 2 until either pif or statement closes
READ THE DARN WIKI!!!!

Chuck Norris...
...can still do FT method
...READS THE WIKI!!!

Offline newdealseeker

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Aug 2014
  • Posts: 391
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: United States
Re: $2 trick to increase FICO score.
« Reply #348 on: April 06, 2016, 10:18:11 AM »
It's been mentioned a couple of times, don't use Chase for this.
But my question was if it's the same if it never gets down to $0
Only because they report pic immediately. I think the question is if it closes at 2 and then yiu add charges and never actually pif, do they update new balance, or keep at 2 until either pif or statement closes
You got my question, now let see what the experts say.

Offline David Smith

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: Jun 2015
  • Posts: 8075
  • Total likes: 212
  • DansDeals.com Hat Tips 13
    • View Profile
Re: $2 trick to increase FICO score.
« Reply #349 on: April 06, 2016, 10:20:17 AM »
If I pay my balance by the due date but there are no charges by that time so the account balance is not brought down to 0, will Chase still report it mid-cycle?
For example, I left a $2 balance 1 month, and charged $50 after closing, then I pay $50 by the due date, the balance will be down to $2 again. Is that the right way to do it?
It will continue to report at $2, IME. (No, I'm not an expert, I'm just reporting my experience.)
Who do you think you are fooling? You think you are going to pull a quick one on your Creator? Good luck with that.
JTZ

Offline newdealseeker

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Aug 2014
  • Posts: 391
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: United States
Re: $2 trick to increase FICO score.
« Reply #350 on: April 06, 2016, 10:21:14 AM »
If I pay my balance by the due date but there are new charges by that time so the account balance is not brought down to 0, will Chase still report it mid-cycle?
For example, I left a $2 balance 1 month, and charged $50 after closing, then I pay $50 by the due date, the balance will be down to $2 again. Is that the right way to do it?
quoted myself to correct my mistake. Realized now that this may be confusing.

Offline newdealseeker

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Aug 2014
  • Posts: 391
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: United States
Re: $2 trick to increase FICO score.
« Reply #351 on: April 06, 2016, 10:23:13 AM »
It will continue to report at $2, IME. (No, I'm not an expert, I'm just reporting my experience.)
Thanks. I might start doing that. Up until now I keep juggling the cards to pay 1 in full, and let another card close 3-4 days later with a $2 balance.

Offline Mendelssohn

  • Dansdeals Platinum Elite + Lifetime Silver Elite
  • *****
  • Join Date: Sep 2015
  • Posts: 672
  • Total likes: 11
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: North Texas
Re: $2 trick to increase FICO score.
« Reply #352 on: April 06, 2016, 11:33:25 AM »
Don't use Chase.

FWIW this is BobWang's technique and I am the author of the thread on this on CB.

Did I mention not to use Chase?


Offline Mendelssohn

  • Dansdeals Platinum Elite + Lifetime Silver Elite
  • *****
  • Join Date: Sep 2015
  • Posts: 672
  • Total likes: 11
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: North Texas
Re: $2 trick to increase FICO score.
« Reply #353 on: April 06, 2016, 11:35:11 AM »
Thanks. I might start doing that. Up until now I keep juggling the cards to pay 1 in full, and let another card close 3-4 days later with a $2 balance.

No need to reinvent the wheel.  Just use the same card, and use a non-Chase card.

Offline Zalc

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Nov 2014
  • Posts: 1785
  • Total likes: 157
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: USA
Re: $2 trick to increase FICO score.
« Reply #354 on: April 06, 2016, 12:06:15 PM »
Don't use Chase.

It would be unnecessarily complicated to keep track of, yet some people seem dead set on using chase.

For those people, would his proposed method work?

I.E. after the statement closes with $2, first charge >$2, than pay off everything less $2, so the balance goes $2 - >$4 - $2, and never gets PIF.

Offline Zalc

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Nov 2014
  • Posts: 1785
  • Total likes: 157
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: USA
Re: $2 trick to increase FICO score.
« Reply #355 on: April 06, 2016, 09:36:14 PM »
Also, does the trick work if I have very large installment account balances (mortgages etc)?

Offline deltastubs

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Oct 2015
  • Posts: 312
  • Total likes: 11
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: usa
Re: $2 trick to increase FICO score.
« Reply #356 on: April 06, 2016, 10:47:01 PM »
Some cc will waive the final under 2, or under 1$, not sure who still does it, discover i know for sure under 2$

Offline deltastubs

  • Dansdeals Platinum Elite
  • ****
  • Join Date: Oct 2015
  • Posts: 312
  • Total likes: 11
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: usa
Re: $2 trick to increase FICO score.
« Reply #357 on: April 06, 2016, 10:48:02 PM »
My credit score literally jumped 160 points wheni started leaving 1$ and change on all my cards

Offline yochiek93

  • Dansdeals Presidential Platinum Elite
  • ********
  • Join Date: Apr 2015
  • Posts: 4456
  • Total likes: 92
  • DansDeals.com Hat Tips 3
  • Gender: Male
    • View Profile
Re: $2 trick to increase FICO score.
« Reply #358 on: April 06, 2016, 10:48:25 PM »
Some cc will waive the final under 2, or under 1$, not sure who still does it, discover i know for sure under 2$
The whole reason its called the $2 trick is because $1 is waived with discover its $3 iinm

Offline David Smith

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: Jun 2015
  • Posts: 8075
  • Total likes: 212
  • DansDeals.com Hat Tips 13
    • View Profile
Re: $2 trick to increase FICO score.
« Reply #359 on: April 06, 2016, 11:28:21 PM »
My credit score literally jumped 160 points wheni started leaving 1$ and change on all my cards
Sounds strange. FICO or FAKO?
Who do you think you are fooling? You think you are going to pull a quick one on your Creator? Good luck with that.
JTZ