When Is the Best Time to Pay My Credit Card Bill?

credit card payment

Credit cards are among the most convenient mediums deployed to make multifarious expenditures. Its principal characteristic of permitting deferred payments suit the spending habits of the common citizens, particularly the millennials. However, the procedure to pay off the bills can get extremely complicated.

Any mistake in comprehending the technical terms can lead to incidents where one misses out on the payment date. This error then results in heavy fines being imposed in the form of exorbitant interest rates. Hence, it is mandatory to be aware of the credit card payment due date and other related information.

On the last day of the billing cycle, the credit card statement or bill is generated. This statement incorporates within itself details of all the expenditures realized through the credit card. It includes varied forms of charges, whenever applicable, such as any processing fee, late payment fee, and interest on the unsettled balance. 

The bill also accounts for the different discounts, tax waivers etc. offered due to the utilization of the credit card, and these concessions are ultimately subtracted from the total. 

The resultant aggregate takes the form of the total amount due i.e., the sum of money the cardholder owes to the bank. The statement mentions the credit card payment due date, which is usually 20-25 days after the completion of the billing cycle. This period of around 3 weeks leaves the ground open for the customer to plan for repayment. 

Moreover, if there’s no presence of any rolled over amount from the preceding month, this period acts as the grace or interest-free period. The statement also alludes to the minimum amount due, which is the least amount of money that the cardholder should settle, on or before the due date. 

What is the ideal time for settling the credit card bill?

The ideal time to clear off the debt is anytime before the credit card payment due date. At most, it should be executed on the due date or the deadline. If there’s any sort of financial crisis, the cardholder must strive to at least pay off the minimum amount due. 

This act will lessen the burden and will restrain the person from diving into a never-ending debt trap. Here are some adverse consequences that can befall if the credit card bill is left uncleared after the passage of the due date.

  • Any failure to pay the amount which the credit card customer owes to the bank attracts interest, which is calculated daily. So, it is advisable to first clear the dues of the credit card that is accompanied by a higher interest rate. Moreover, if the customer even defaults in paying the minimum amount due, there comes the element of late payment fee, and the interest rate shoots up rapidly. In some cases, the credit card may get deactivated.
  • Defaults in repayment, or just clearing the minimum amount has a deleterious impact on the credit score. As a result, the creditworthiness diminishes and so does the probability of procuring a loan in the future.
  • Recurring events of missing the due date can reduce the credit limit i.e., the sum of money that can be spent through the credit card. The cash limit in credit card (ceiling on cash withdrawals using credit card) is about 20-40 % of the credit card limit. Thus, the cash limit in credit cards also gets affected.

Tips and tricks to ensure seamless payment of credit card bill

Once the resolution has been made to clear the credit card bill on or before the due date, certain tips and tricks can be observed to have a trouble-free experience.

  • As there are numerous ways to clear the credit card bill, one must keep in mind the time it takes to process the request. Payments secured through the bank’s net banking facility do not take more than a day. While a payment entailed through cheque or demand draft generally requires a few days to get fully realized. Hence, the processing time must be taken into account to avoid any penalty.
  • If you’re running short on funds to clear the dues, avail of the EMI option to clear the dues. The EMI option will prove to be relatively cheaper, as it will incur less interest.
  • Consider employing the auto-pay facility i.e., link up the bank account to pay off the credit card bill. It will relieve the burden or worry of clearing the dues manually.
  • Minutely scrutinize the credit card statement to not to miss out on any unwarranted or undesirable charges. Nonchalant attitude while dealing with credit card statements can prove to be costly, as one can easily miss out on alleged misuse of the card.

convert humongous bills into EMis, and withdraw cash from ATMs with the aid of this SuperCard. 


Please enter your comment!
Please enter your name here