Southwest credit card and accruing rapid reward points

[572021155]

Hello,

I am new to the Southwest credit card crew. If I made a purchase on my card yesterday however my billing cycle doesn’t close until the fourth and want to make a payment today for the purchase made. Will I still get my points even though I Didn’t wait for the billing cycle date?

[dfwskier · Accepted solution]

No.

Points are doled out as soon as a statement is issued - and at no other time.

[572021155]

Thank you for answering! This is good to know. I have to let it for one billing cycle in order to get all the points. 

[TheMiddleSeat · Accepted solution]

You can make the payment early if you want, that does not affect you getting RR points, but there is no need to pay any time earlier than your payment due date. Paying before your statement date may actually harm how banks view you since you are not actually utilizing your credit. That sweet spot is after the statement date and before due date.

--TheMiddleSeat

[572021155]

Thank you for your reply! I just want to make sure I stay under 30% of the credit utilization rate before the billing cycle and earn my points. 

[floridaguy]

I have cards that I typically pay in full BEFORE the statement date.  I get all of the points and rebates and never have a balance.  Some of these cards have a $200k credit limit.

The fact that the credit report knows my credit limit, but sees no balance reflects favorably and my credit score hovers between 830 and 850.

If you want, pay it off before the statement date, but leave $1 open.  Then, pay the $1 after the statement produces.  You will be utilizing near zero credit and you get the both of both worlds.

[TheMiddleSeat]

@floridaguy you'll notice I did not refer to credit score but rather "how banks view you". If applying for new credit cards banks will want to see credit utilization. If they see zero percent utilization there is no belief you will actually use the card and may be denied for new credit as you are not demonstrating use of the credit. The OP stated they are strategically planning to maintain their utilization, not zero it out, thus they are utilizing other cards and can pay the Southwest card as stated.

--TheMiddleSeat

[floridaguy]

Federal laws governing the issue of credit do not permit any type of punitive reaction from the lender where they believe you will get the card and just sit on it, so they are not going to issue the card.

If you have excessive debt, then the decision to deny credit is legitimate.

My response was viewed as a solution, so let's leave it at that.