Credit Card Statement Balance Explained FAST (Payment Basics 2/4)

Here's a quick explanation of a credit card statement balance.
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The statement balance on your credit card is simply the accumulation of everything that occurred during the billing cycle (about 30 days) and any interest or fees that have accrued as well. You'll have about 25 days to pay off at least the minimum payment before the final due date. If you pay off the statement balance in full each month by the due date, you'll be using an interest free credit card. If you don't pay off the entire statement balance in full each month, you'll lose your grace period and you'll be charged interest on all your new future purchases until you pay off the entire statement for 2 months in a row.

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[arindasleeze]

Shutout to everyone who’s trying to educate themselves!

[moonlitfoxling]

I've had my credit card for nearly 7 years, and I've never known exactly what the statement balance was and accumulated over $166 the past few years, but with a really good fico score. Thank you for the explanation

[Designs]

Thank you for this explanation 🤝 This was very helpful for me.

[useristaken]

This was very helpful thank you 🙏 subscribed

[justinzingale]

Extremely helpful for someone like me with little people in their life to explain these things!!! Stuff they don’t teach in school!

[dhruv]

You should explain payment allocation to customers, cuz I work for credit card and lots of customer lack knowledge of that and accrue interest while being on balance transfer and then using card for purchases

[Almightykye]

The number one thing to note is that the statement balance should be treated like a separate bill. It has nothing to do with the current balance owed on the card (that’s just your available amount to use). Current balance = what’s available/what’s been spent this month)
Statement balance = what you spent in total last month !
This got me into so much trouble with my first card as I continued to pay my current balance thinking that it would take care of my bill each month. They are 2 separate charges !

[SynixWired]

Okay got a question my statement b is currently $82.70 and my current b is $200 I paid off my statement balance like 3 times before I had my current balance around 400 but instead of taking away my statement balance it drop my card availability? Does that mean I’m good for that month or what I’m confused

[jtown]

quick question..
My opening/closing dates are on the 4th of the month. My payment due date is the 1st. I always make regular payments throughout the month bc my credit line is so low and I want to keep using throughout the month. Last month I paid off my statement balance well before the 1st as always, but between the 1st and the statement closing of the 4th, I made some purchases. It was my understanding I am paying off LAST months statement period. However, the new statement balance this month carried over and my credit score took a hit for credit utilization. I am currently under a promotional 0% APR, so I can't even tell if this new balance is going to be charged interest eventually. Should I just make my normal payments by the 1st and then be sure to make another payment before the 4th? That seems odd

[desispirituality]

How o make payement ?? I payed already but it addrd to my credit score to 1200 instead of 1000 .. 200 i paid the payment .. now its still showing 190 as statement balanve due.. how to pay that amount!??

[Angel-wkvl]

I have a question, If my outstanding balance is over 1, 000, is the automatic payment gonna take out the outstanding balance or statement balance? Thank you

[Mr_iAN]

So you should always pay statement balance rather than current balance right?

[lp]

So my current balance is 25, my statement balance is 160. My due date is June 6 and my closing date is June 9. I already paid my statement balance down to 0 couple of weeks ago. I’m good for this cycle right?

[gelaica]

I’m still confused. Let say my statement says I owe $1000 and paid it all off before due date, and I borrowed $100 again. Will i get interest on $100 if I don’t pay it on due date?

[ericreyna]

My credit card says I owe what I spend and also a statement balance what’s the difference? I paid the statement balance before and it just gave me credit for paying over what I owe ?

[mjc]

Just paid off my statement balance a week ago, but then I also paid the same amount like 3 days ago, and now my current balance is negative. Did I do something wrong? I thought that once I paid off the statement balance from the previous month (June to July) that I wouldn’t have any more money to owe, but I still had a statement balance to pay, and even now, it still says I can pay that same amount towards my statement balance. I am so confused man, they make this way more confusing than it needs to be

[austin]

I have a $0 current balance and a $285 statement balance. I try to pay my statement but is says I cant exceed my current balance. It will not let me pay

[ioneanelo]

Credit amount is $500.Statement balance is $120..other balance is $230..should i pay all to make it $500 again means no interest..how bout if i pay only the statement balance that’s still no interest fee?

[Zachery]

I have bank of America’s and my statement balance is 823.46 do I pay the full balance so I don’t pay interest?

[rachc]

I paid off my current balance and my statement balance at the same time and two separate transactions. My statement balance was 76.40. The statement balance is still there and now my credit card is above (its -70.64). I’m so confused!!!!