When To Pay Your Credit Card for Beginners

The exact date to Pay Your Credit Card and Increase your Credit Score. Also, when to pay your credit card to avoid interest in 2022. Use your statement date and your payment date to improve your financial freedom.

Payment Due Date
Your payment due date is the day that your credit card payment is due for the previous billing cycle. Your due date is typically between 20 and 25 days after the close of your last billing cycle.

If you pay late or less than the minimum due, you will be charged a late fee. If you pay less than your full balance, you will be charged interest.

Statement Date / End of Billing Cycle
Your credit card statement date is the end of your billing cycle. On this day your issuer produces a statement of your account activity for the previous billing cycle - which can vary between the last 28 to 31 days.

Your credit card statement will list all transactions made during the billing cycle, any fees charged, and your current balance. You'll also see any interest charges, late fees, and annual membership fees listed as well.

Outside of simply reporting transactions and fees, your statement date has another major role. Credit card companies use the information on your statements to report to the credit bureaus every month.

By knowing your payment date and your statement date you now have all you need to pay your credit card at the right time to boost your credit score.

Here’s how to do it!

If you want the highest credit score, the best time to pay your credit card is before your statement date.

Here’s why!

Utilization
Credit Card companies report your credit Utilization one time per month - using the information found on your statement. Your credit Utilization is the % of your credit limit that you have used. And Utilization of credit makes up 30% of your credit score.

30% should be the highest your utilization should be by the time of your statement date. The lower your utilization, the better your credit score will be and anything over 30% is considered bad. For this reason, it is best to keep your utilization low as you approach your statement date. Paying close attention to the fact that the dates can change - month-to-month.

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Disclaimer: The information provided in this video is for informational purposes only and is not meant to take the place of professional legal, accounting, or financial advice. If you have any legal questions about this video or the subjects discussed, or any other legal matter, you should consult with an attorney or tax professional in your jurisdiction (i.e. where you live).

[RockStarDidit]

this the best info out there doing what you said i went from a credit score of 655- n now im at a 773 as for fico score is concerned just wanted to say thanks so much for doing what you do means a lot

[janinedavies]

After watching multiple videos, this finally makes sense!

[fabiennecadet]

Thank you so much. This video helped me

[rjay]

I like how you explained everything nice and slow so my brain can properly consume all that information.

[itsjustfoodmo]

Correct me if I’m wrong, so I can have a 200 credit limit, and use the full 200. But pay at least 180 before the statement date? Which would put me at 10% utilization?

[pulltogetherk]

So how do you arrange the payment with autopay to be closer to statement date

[sosochic]

Hi,
I’ve been reporting before my statement date and I noticed that experian, Equifax and TransUnion only update once to my credit file. Actually, Experian is a month behind meaning what I paid on my credit cards this month/August is not reflecting their recent update. The update is reflecting the balance from last month which is July. I usually paid all my cards upfront during the first 5 business days and yes this is before all my cards statement dates. Any suggestions/advice about this occurrence?

[Pstown]

So make a minimum payment on or before due date and make a payment before close or statement date

[edwardbell]

I tried this and the only benefit i got was my utiliztion was low, but my credit card company said that they couldnt offer me a better credit card with lower APR cos this remove the history that was reported to the credit bureau.

[GT]

What if you only use %10 period and not more than what you spend do you still have to pay before statement date like you said?

[daciasdiy]

Now I see how I messed up! i been paying my balance by due date. Then use again and pay off so I'm probably not showingany utization

[daciasdiy]

i was just told that you only get reported once regardless. So the trick about paying your card twice . My credit card is due on the 1st of the month. Closing date is Feb 5th is at 22%

[gwenrobinson]

I never have a minimum payment on my NFCU Mastercard. Why?

[vinniedeandrade]

does the 30% mean across all credit card accounts or for that particular credit card? technically if I have 10% on card A and 30% on card B, that does not = 30%

[Led.on.YouTube]

I went from 3% -> 5% credit utilization, and my score dropped 7 points. Never made a late payment. Idk how well this will work for me

[lauraespinoza]

Statement can change every month? I've heard is always the same day month by month.

[TheChariot]

So are you saying pay low interest 1 day before closing date ?

[daciasdiy]

So what' ever balance that you have on your statement closing fate is the amount that gets reported.

[sbdjrbr]

New apps out now on every platform repost thx

[marley]

Im confused, example, due date is 6th, report date is the 10th. Should I Pay in full by 6th, and couple days later and spend under 30% amount within the 4 days so I have a balance? In other words, if I pay in full by due date, this only is a 4 day window before report date and credit card would report zero utilization.