Interest question

[Anonymous]

Sorry if this question seems really basic but I am a little bit confused.

My statement cut in April with a $900 balance. I paid that off in full but ran another 2-3 thousand through the card throughout the month. After paying the $900 off the "payment due" showed as $0 for the remainder of the month, even when my balance went up. The May statement is going to report with around a $200 balance... am I going to be paying interest on the $200? Or would I only pay interest if I didn't pay all of the $900 that was originally reported on the statement? In total I made a little bit over $3000 in payments throughout the month.

[takeshi74]

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@Anonymous wrote:

The May statement is going to report with around a $200 balance... am I going to be paying interest on the $200?

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Only if you don't pay that statement balance in full by its due date.

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@Anonymous wrote:

Or would I only pay interest if I didn't pay all of the $900 that was originally reported on the statement?

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$900 was the statement balance for the prior cycle.  If you paid that in full by its due date then you won't be charged interest on that $900 statement balance.  Whether or not you pay interest on the $200 balance on this statement cycle depends on whether or not you pay it in full by its due date.

It sounds like you're just confused about the different cycles.  Each cycle has its own statement balance and its own due date.  Pay the statement balance in full by the due date and you will not accrue interest.  Keep in mind that the statement balance and your current balance are two different things.

[Anonymous]

I was just confused as to whether the interest is immediately applied to the reported balance or if it occurs as you have explained. It makes a lot more sense to me now. I really appreciate you clearing it up!