Frequent Contributor
Posts: 385
Registered: ‎02-06-2009
Re: Newbie Question......

Wolf3 wrote:

brother7 wrote:

Sitori wrote:

My head is spinning
Someone make this extremely easy...
If my statement date is the 12th and my due date is the 5th Tell me an exact date to pay an exact amount ....

I charged 157 with a $1200 CL
So What should I pay and when??

Btw is that too much ultilization

Pay $145 about 1 week before the due date. The remaining $12 balance (1% of 1200) will report on the next month's statement.

NOTE: if you made any charges AFTER the statement date, include that amount in your payment.

is that clear?

That is very bad advice!

Your statement balance is $158.   You should pay the full statement balance by the due date or you will be charged interest.   If you pay the statement balance in full (PIF) by the due the date there will be no interest charges.   Your due date is the same date each month and closing date can vary.   


If you can not pay the full statement balance, you should pay at least the minimum payment or you will be late, which usually includes late fees and bad marks on your credit report.   


Since you are new to this, I suggest you forget about all this utilization stuff for now, since it makes no difference except when you are actually applying for credit and your score is being calculated.    



Wolf3 is RIGHT and I stand CORRECTED.


You should PAY THE ENTIRE STATEMENT BALANCE BEFORE THE DUE DATE to avoid interest charges.

However, if you're like most people who use their credit card throughout the month, you'll have additional charges after the Statement Date. For optimal utilization (1%), pay off the additional charges before the Next Statement Date, but leave 1% balance. That balance will be your New Balance on the Next Statement Date.


Darnit, I was doing so well explaining this too. Thanks Wolf3 for pointing out the error.

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