topic Re: Question about paying before a statement is cut in Credit Cards

Question about paying before a statement is cut

Anonymous — Mon, 23 Nov 2015 04:20:36 GMT

Hi, all. I've tried to find this answer but can't, so...

If you pay a credit card down a bit before the statement cuts (in order to have lower utilization reported), do you still have to pay the "minimum due" that shows up when it cuts? I'm not able to PIF, so I'm paying down large chunks each month.

Re: Question about paying before a statement is cut

dstew201 — Mon, 23 Nov 2015 04:24:27 GMT

If I'm understanding correctly. Yes you will still have to pay the min., if you're still carrying a balance.

Re: Question about paying before a statement is cut

Pway — Mon, 23 Nov 2015 04:31:12 GMT

If the balance is not paid in full before the statement cuts, then yes one is responsible for the minimum payment due once that statement has been cut. Please also remember that util has no memory and those points lost one month can be gained back the next. If you are not planning to app for anything then I would not be too concerned.

Re: Question about paying before a statement is cut

jsucool76 — Mon, 23 Nov 2015 04:38:21 GMT

+1 to Pway.

The minimum payment is calculated by your "Statement Balance." As long as the statement balance is $0.01 or over, you will always have a minimum payment.

Re: Question about paying before a statement is cut

takeshi74 — Mon, 23 Nov 2015 14:05:14 GMT

@Anonymous wrote:
If you pay a credit card down a bit before the statement cuts (in order to have lower utilization reported), do you still have to pay the "minimum due" that shows up when it cuts?

Yes. The minimum due is exactly what it says it is. It is the minimum that you need to pay to keep your account current.

If you're carrying a balance there's probably not a whole lot of advantage to paying prior to statement cut. The prior cycle's due date is likely a few days before the next cycle's statement date anyway.