Unlocking the Best Times to Settle Your Credit Card Bill: 3 Friendly Tips

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The value of personal items that one owns, including savings, investments, and property. One of three factors in credit scoring
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We all know the drill: make that minimum payment on our credit card bill by the due date. Sounds simple, right? But what if we told you there's a bit more magic to be found in the timing? Let's dive into the perks of being a tad proactive with those payments.

Pro Tip #1: Boost Your Credit Score with Timely Payments

Your credit utilization ratio – the percentage of your credit limit you're using – plays a starring role in your credit score. Imagine you've got a credit card with a $10,000 limit and you owe $1,500. That's a 15% utilization ratio. Keeping it low is the key. But here's the twist: the timing of your payments can influence what gets reported to the credit bureaus. By paying a bit earlier, especially when your utilization is nearing 30%, you ensure the reported balance is in your favor, giving your score a friendly nudge.

Pro Tip #2: Early Payments = Less Interest

Paying off your full balance monthly is the dream. It keeps your spending in check and saves you from interest. But if you can't clear the full amount, paying earlier can still trim down your interest. Remember, interest is based on your average daily balance. And if your due date doesn't vibe with your schedule? A quick call to your credit card company can usually shift it to a date that's more in tune with your rhythm.

Sometimes your account balance and your statement balance don't always match. Be sure to check the balance on your monthly statement so you don't overpay for the same benefit

Pro Tip #3: Stay Ahead and Dodge Those Pesky Fees

Always aim to cover at least the minimum by the due date to avoid the sting of late fees. In 2022, these fees could reach up to $40, depending on the issuer and your payment history. Want a hassle-free solution? Set up an automatic payment plan and dance past those fees.

Starting with the basics, like ensuring the minimum payment, is great. But with a sprinkle of strategy, you can elevate your credit game. If the financial maze ever feels too twisty, remember you're not alone. Chat with trusted pals, family, or financial gurus. And for a treasure trove of insights, Kasheesh’s Finance Academy is always here to guide you.

Let's see how much your budget
needs Kasheesh
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Term
Capital
Visit Glossary
Meaning
The value of personal items that one owns, including savings, investments, and property. One of three factors in credit scoring
Visit Glossary
You’re not using Kasheesh yet?
Join the Waitlist
No items found.
Let's see how much your budget
needs Kasheesh
Take a quiz
Term
Capital
Visit Glossary
Meaning
The value of personal items that one owns, including savings, investments, and property. One of three factors in credit scoring
Visit Glossary
You’re not using Kasheesh yet?
Join the Waitlist
No items found.
Let's see how much your budget
needs Kasheesh
Take a quiz
Term
Capital
Visit Glossary
Meaning
The value of personal items that one owns, including savings, investments, and property. One of three factors in credit scoring
Visit Glossary
You’re not using Kasheesh yet?
Join the Waitlist
No items found.
Let's see how much your budget
needs Kasheesh
Take a quiz
Term
Capital
Visit Glossary
Meaning
The value of personal items that one owns, including savings, investments, and property. One of three factors in credit scoring
Visit Glossary
You’re not using Kasheesh yet?
Join the Waitlist
No items found.
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