We’ve been paying off our credit cards all wrong 🤯
(via kudostips on TikTok)
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47 Comments
I don’t got time for that!
Utilization rates don't matter
Thanks for making it simple 🙏
All people are broke
❤
Is the statement closing date and the statement cycle date the same?
Also, would I have my shopping spree the day if my statement closing date (the 16th) or the day after (the 17th)?
Flaws in this video!
To start it shows July 17 but when you talk you use the 16th.
You say to pay it on 19th but the video shows 16th.
The biggest flaw is your too wordy and this adds to the confusion.
Slow down, scratch words, way simpler.
After you pay the full balance before the due date. The following day use 10% or less of your utilization, then let it show on your statement date, then pay that in full after.
How do you find out your statement closing date?
tq fam
Talking WAY too fast. Not everyone is from California. Be more professional
50billion 🌹🌹 8
A equals 9
CHRIST IS THE WAY
What happens if i dont pay the statement balance on time?
My minimum fee says something else. If i pay that will that be ok?
This girl is so hot.
Or just don’t go over 30% utilization to keep it more simple
why is this video so like gen Z talking
Paying one day earlier doesn't change anything. It's the using the credit card again before the closing date that hurts the utilization. So to simplify, pay your card on time and wait till after the closing date to use it again.
Wow thank you
Are you saying you should be paying twice then? Or pay minimum balance and then zero it out on statement date?
You are too fast for me!!!
Not correct.
Your closing date is for the month before.
Make payment before each months closing date.
Giving time for the payment to be recieved and post to your account.
Do not use until after the closing date.
So, it is closing date to closing date.
Payment due is to avoid fees.
You actually need to leave at least 1-5% of the balance to have something reported to bureau as your score also lowers when you have 0% credit utilization. That’s real life experience from me.
Talk slow
But 0% is no Utilization to record, & not credit building accruing. Right?
❤🎉
Much needed 🔥🔥🔥
So this is IF you pay your card down to $0 every month right?
so pay your balance on the card on your due date and show 10% or less of utilization on your statement date for an increase! 0% utilization is still a negative ding on credit LOW utilization is POSITIVE
You need to speak slowly no one can understand what you are saying
I'm fairly new to credit cards, but this is NOT correct. It doesn't matter what you spend in between the dates. The statement is already closed. Whatever is on your statement is what you owe on the due date. Pay it down by statement date to report low utilization, pay the full balance reported on the statement by the due date. Your current purchases are reported on the following statement date. Your example here is backwards, because usually statement date comes before due date. If statement date is 11th, it would be reporting usage between sept 11 and oct 11th. Pay down to 3% to report some usage. Pay the last 3% by the 16th to not pay a cent of interest. Your purchases between Aug 11th and 16th would report on Sept 11th statement date, due nov 16th. If the dates were reversed as you had them, the statement would close on oct 16th and would be due Nov 11th. Your Oct 11th payment would be from the previous billing cycle on the previous statement.
You talk to fast
Why can't you not use it on the 12th?
Facts!!!!! This is EXACTLY how I utilize my credit cards!!
The credit card companies report your balance at MIDNIGHT on your CLOSING DATE (their time zone)… It's important to ask your credit card companies what time zone they are in. It can make a difference of where you are located.
Example#
Your closing date is the 16th. Let's say your credit card company is located in California. Your credit card company will report to the credit bureaus (TransUnion, Equifax, Experian) at midnight PACIFIC time. This is a 2 hour difference if you live in Illinois (central time zone). So the credit bureaus will report your balance to the credit bureaus 2am central time zone and 12am Pacific time zone.
ALWAYS wait to use your credit card AFTER the statement closing date after midnight
How do I find these dates? I just got my first credit card
Thank you ! Fr fr ! Much appreciated
This explains my negative 11 points. 😮😡.
how about no shopping spree….
If you don’t have a balance after the statement close date you will not have any payment history to report to credit bureaus, but if you leave $1 on there, that will show payment history and low utilization.
Shopping spree on what?
Statement closing day i s important
Thats a really weird way using a Credit cards. Most people use credit, since they don't have the money right now. That's why most people are unable to do it.
99% of people can't even pay the minimum
What do you get the 5K from?