PayPal Card

[ficonightmare]

My GEMB/PayPal statement comes out one the 10th of each month.

PayPal received a payment from me on 10/6. Then I received my statement showing the original amount due, and had to make another payment. Why didn't they apply the one I made on 6th towards my balance?

Also, when I checked my EQ and TU on the 25th, it also showed the original amount owed.  This is keeping my UTL higher than it should.  Is this common practice with CC's??

[Anonymous]

When making a payment that does not pay in full, the balance is then reported on your next statement. All creditors have a minimum payment due according to balances. For example last month your balance on statement was $300, minimum payment due was $25. On such and such date you paid $200 which left a balance of $100 plus interest.

This carry over from month to month is normal until the debt is paid in full. Just keep in mind that once you carry over debt from month to month and then finally pay off the balance in full according to statement, that the following month you may still have a balance left to be paid because of accrued interest charges. Many people forget about this and then account ends up reporting late. 

I don't believe the original amount owed has impact on UTIL unless it is one of the credit cards that do not report your credit limit. I thought it was the balance of the CL that matters and how it is scored.

Good Luck

[ficonightmare]

Ok, didn't understand how it worked, still new at this. Thanks for the response.

Also, it is normal for a CC to still request payment even if you paid prior to the statement date? Like I said, they're showing they received a payment from me on 10/6, but  still said showed a minimum amount due that needed to paid by 11/2. I thought the 10/6 payment would automatically be applied to my 10/10 statement?

[Anonymous]

What you are saying is that on 10/6 you made a payment but didn't pay in full to this CC. Another statement was printed on 10/10 for this CC which shows your payment on 10/6, and a balance left to be paid with a minimum payment of $xx dollars due on 11/02.

If this is correct then the CC billing you for a minimum due on the balance is correct. All payments with-in the statement period were applied to your balances as you stated. Once a new statement is updated the remainder of the balance is still due with a minimum payment according to the CC terms and conditions. 

The easiest way to keep track of this is to only make one payment to the CC per statement period. Just make sure that this payment is paid on time no later then the due date on statement. It is usually best to pay at least 5-7 days before the due date. You can pay as much towards the balance that you owe but can not pay less then the minimum payment due.

As long as you have a balance on this CC you will have a minimum due every month until paid in full. If you haven't paid this minimum that is due 11/02 I would make that minimum payment asap.

[ficonightmare]

my 10/10 statement did not show my 10/6 payment (even though it was listed on paypals site). When I logged back in a few days ago, my balance reflected both payments.

However, I was incurring interest on the original statement amount which did not change even though I made a payment on 10/6.