Therefore in today’s article, we are going to be looking out when is the best time to pay my credit card bills. Did you know that there is a good time and it is also a bad time to make payments for your credit card bills?
If you did not know this then you might have been making credit card payments at the wrong time. Making a credit card payment at the wrong time I have so many consequences like added interest rates and others.
A credit card is a very vital and important aspect of your financial life that should not be played with. It is very necessary that you regularly make payments with your credit card so that you did not miss a payment. Missing payment is something that you will not lie and it is going to end up remaining on your credit report for up to 7 years. This is why I need to know the best time to pay your credit card bills
When is the Best Time to Pay by Credit Card Bills?
If you want to know the best time to pay your credit card bills if you are on the right article. The only best time that it is acceptable to bring your credit card bill is to simply make on-time payments. This is the most important reason that you should make payments on credit card bills. Making on-time payments will help you keep your credit card and also build your credit score.
It will also help you avoid paying interest rates on balance and then you will reap the benefits continuously. The wrong time to make a credit card payment is simply after the payment has been missed which means you are now going to pay interest. However, you still need to pay off the money because if you don’t it will still keep on accruing interest.
What is a Credit Card Billing Cycle?
In order for you to understand the best time to make a credit card payment you need to know what a credit card billing cycle is. A credit card billing cycle is the approx 1 month period between statement closing dates which means that a billing cycle that lasts between 28 to 31 days depending on the card that you have. When you are done spending in that month in the end your card issuer will send you your statements.
Your account statement will continue the account balance interest charges and other charges that you have accrued during a month. On that statement, you are going to see the date on which the statement is going to close so that you can plan in making on-time payments in order to keep your account in good standing. Credit card payments are always due three weeks after the last credit card closing statement.
When to Pay your Balance Early
Although it is not a must that you make full payment on your credit card you are required to make minimum payments however you should strive to make full payment. The only problem is that it is not always possible for you to make full payments on your credit card each month. This is why most people will result in making the minimum payment.
So many people always carry balances from month to month that make them incur money. This is why it is not very much encouraged to make only minimum payment because he will carry the orders to the next month which will increase your interest rate. However, if there is a month that you simply have the money you can simply pay your balances in full.
Paying your balance in full is a very good thing because it will help eliminate all the interest rates you are going to be paying. Also, help keep your credit score, and help you save on some charges you are going to be charged when you make late payments.
Went to make Multiple Payments on your Credit Card Bill
Making use of procedures that you rarely do can make your credit card utilization ratio go up this is because you do not do this regularly or often.