Quick question about Apple Card refund

Submitted by aholeinthewor1d t3_z8dqth in personalfinance

I've had the Apple Card for a while now but haven't used it much. A few weeks ago I made a purchase on Amazon which I decided I'm going to be returning in the next few days. Other than that purchase there is no balance. My payment is due tomorrow and I'm not quite sure how this is gonna work. The balance is $244 and that's the exact amount I will be refunded.

What is the best way to handle this? I'm guessing there's no point in paying the full balance. Should I just make the minimum payment ($25 plus interest) tonight? Assuming I make the minimum payment.. about $20 would go towards the balance. What happens when the $344 refund hits? Probably a simple question but never really dealt with it before as I haven't had or used credit cards in a long time. Thank you!

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Werewolfdad t1_iyb3lc2 wrote

No. You make the full payment then when you get the refund you’ll have a credit (negative) balance.

You can ask for a check to be mailed to you or just spend it down (up?)

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aholeinthewor1d OP t1_iyb3uuu wrote

ahh ok I didn't even think of that. Is that 100% possible with the Apple Card (Goldman Sachs)?

So you're saying pay the $244 tomorrow which brings my balance to $0. Then once the Amazon refund hits I will be able to withdraw that $244 via a check?

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Werewolfdad t1_iyb43su wrote

Yes

Or just spend it down

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aholeinthewor1d OP t1_iyb83sv wrote

Thanks I did some more research and have a decent idea of how it works now.

One question. What is the downside to just making the minimum payment which is $25 with $4.54 interest? I mean I lose $5 but then I don't have to take another $300 out of my checking, wait for the fund to hit, then call, and then wait for a check or bank transfer. Is there any downside to that?

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t-poke t1_iyb8e2x wrote

The downside is you’re pissing away 5 bucks for no reason.

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Werewolfdad t1_iyb8eqj wrote

> One question. What is the downside to just making the minimum payment which is $25 with $4.54 interest? I mean I lose $5 but then I don't have to take another $300 out of my checking, wait for the fund to hit, then call, and then wait for a check or bank transfer. Is there any downside to that?

You lose your grace period and pay $5 in interest. You could just spend money on the apple card you'd spend on other cards to bring it back to $0

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aholeinthewor1d OP t1_iyb8qte wrote

Just trying to get a better understanding of all the options. I'm still not sure if there are any other downsides other than wasting $5? Does it hurt anything with my card or credit since I only made a min payment and had to pay interest? Sorry if these are dumb questions I never really got into credit cards much

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Werewolfdad t1_iyb8y7o wrote

> I'm still not sure if there are any other downsides other than wasting $5? Does it hurt anything with my card or credit since I only made a min payment and had to pay interest?

Nope, other than $5 and the loss of the grace period temporarily

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ahj3939 t1_iyb86v0 wrote

Yes, otherwise you'll get charged interest for not paying in full.

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aholeinthewor1d OP t1_iyb8gdu wrote

Just trying to understand a little better.. wouldn't I end up only losing the $5 towards interest? Then I'll just have a $5 balance on the account?

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ahj3939 t1_iybax2e wrote

Sure it's about $5 but you also lost your grace period for carrying a balance.

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BlazeDemBeatz t1_iyc1i9j wrote

If you dropped a $5 bill on the street would you be upset?

That sums up what the choice here is.

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kirklennon t1_iybeblb wrote

> A few weeks ago I made a purchase on Amazon ... My payment is due tomorrow

Are you sure about that? November 30 due date is for purchases from October. If you bought it in November then you have a balance, of course, but it’s not due till December 31.

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aholeinthewor1d OP t1_iybhbyf wrote

I was estimating with the "few weeks" lol. My $244 due date is def tomorrow

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KL0WN3D t1_iycessf wrote

Had something similar happen with my capitol one card. ABSOLUTELY pay the due balance, once your refund hits you’ll have an additional 244 extra credit line. Either spend that or contact the CC and see if they can mail you a check.

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