So the credit card balance is up to its credit limit and now it seems like a loan payment. You are now using your debit card instead of the credit card for your daily use because of the card being over the limit.
First step. Bring the card to within or below the credit card limit.
When you go below the credit limit, then you know that anything you put towards the card can be used after its posted to the account.
· There is your budgeted amount for fuel or groceries. An easy tip to pay your monthly credit card payment is to put your budgeted gas and grocery bill into the card. As soon as that amount posts, that amount becomes available for you to use.
By doing so, you accomplish two goals, making your monthly card payment and you get to buy your groceries and gas. Don’t forget the points earned with every purchase.
“It is a delicate process trying to get a maxed-out credit card back under control. One of the fastest ways to do so is to make the payment at the most advantages time.”
It’s a 3-step process;
I. First step is finding out when your statement is printed.
📷Example: If your statement is due on the 18th of the month. The amount on your credit card balance on the morning/night of the 17th night and morning of the 18th will determine the interest being charged to your account.
The 2nd step is to make the payment on a day that will post to the account before the card statement is produced. The payment should be made on the 16th. The payment is then posted to the account by the 17th. The statement is then printed the morning of the 18th.
The 3rd step is something you have no control over, but you can influence how much interest is charged to the account. Time the payment to where when the payment post to the account is the same time the interest is charged. That way you don’t have to wait too long to use your funds to make purchases. So you can use the funds again by the 19th.
It’s a 3 day process, where payment is made on the 16th, post to the account by the 17th, statement is produced on the 18th, and you can use the funds the night of the 18th or to be safe a day after the statement is produced, which would be the 19th. The secret is to have your interest charged when you have the lowest balance during the month. That is one small step in fighting your way out of debt.
To recap, pay to the credit card what you would use of your monthly budgeted gas and groceries needs, and follow the three-step process to be charged the least amount of interest on a credit card.
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