How do i accont for finance charges

[Anonymous]

So I had 2 CCs. I paid one with a balance of $385 down to $0 but then when the statement cut I still have a balance of $4.87 because of finance charges. How are you suppose to pay down to zero if you are still going to report  a balance after finance charges are added?

[mauve]

Most CCs don't charge you finance charges for the first 21 days after a purchase.  I'd pay within that timeframe to avoid them. 

[vish1]

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@fused wrote:
moved to cc forum.

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Is this a special kind of page? When I try to click on the link, I get an error saying. Access Denied

[Creditaddict]

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@Anonymous wrote:

So I had 2 CCs. I paid one with a balance of $385 down to $0 but then when the statement cut I still have a balance of $4.87 because of finance charges. How are you suppose to pay down to zero if you are still going to report  a balance after finance charges are added?

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If in January you had charged the $385, you would have at least the 21 days mentioned to pay that balance in full in Feb. and not pay interest.

But if you charged that $385 in Dec. and paid a min. of lets say $15 in Jan and then paid the balance off in Feb. you would be charged the interest based on average balance over the time frame of Jan-Feb.

I hope I said that so it makes since