Decoding the Credit Card billing cycle

Savings and investments are the most conventional ways to meet your goals and desires. But this could take time. If you need to meet your goals urgently, consider availing yourself of credit from the bank. It lets you readily obtain the amount you require to fulfil your goals and desires. You can repay the credit in Equated Monthly Instalments without feeling burdened.

A Credit Card is the finest product you can consider. You can apply for Credit Card at any leading bank. Consider opting for a bank which confers upon maximum Credit Card benefits. Typically, banks consider your income and credit scores to extend a suitable line of credit to you. A higher income and credit score lets you enjoy a more significant line of credit.

You can use your Credit Cards to make a variety of purchases and transactions. However, before you get started with using your Credit Card, learn how the billing cycle works.

Credit Cards and their billing cycle

The Credit Card billing cycle is the range between billing statements. The length of the billing cycle differs between banks. Typically, it is anywhere between 28 to 31 days. Once your billing cycle approaches, you get the Credit Card statement, which you need to pay off before the due date. Suppose your bank generates the Credit Card statement on the 8th of every month. Your billing cycle usually starts on the 9th of the previous month and completes on the 7th of the current month.

This is assuming your bank follows a 30-day cycle period. All Credit Card transactions from the 9th of the previous month to the 7th of the current month are summarised in one statement. Typically, the bank sends out the Credit Card statement via email. Hence, ensure you register your email address when you apply for Credit Card.

Credit Card due dates

Credit Card due dates are the last date within which you need to clear your Credit Card dues. It is generally 15 to 20 days from the Credit Card statement date. You can repay the dues in two ways: pay the total or the minimum amount. Consider your affordability to decide on a suitable repayment method. Make sure you do not miss out on the Credit Card due date.

A delayed or non-payment negatively impacts your credit scores. This could affect the future of applying for other Loans or credits. Automating payments is an excellent way to manage your Credit Card bill repayment. If you automate the payments, the amount gets automatically deducted from your Bank Account on the due date.

This helps you stay on track with your Credit Card repayment. You can automate your periodic repayments using Online Banking platforms.