Paying A Credit Card Bill (I Wish I Knew THIS)

Рет қаралды 810,568

Жыл бұрын

In this video we’re talking about your credit card bill to answer some important questions like "when to pay your credit card bill to avoid interest?" We’ll be going over 12 key terms on your credit card statement that everyone needs to know so that you can pay your credit card bill the right way to not only avoid interest, but also increase your credit score!
To summarize this video, the best time to pay your credit card bill is after the statement closing date but before the payment due date. That period of time is called the grace period, and when we make a credit card payment we should be paying off the full statement balance as well. This video will explain that concept in much more detail as I go through one of my real credit card bills.
Overall, using your credit cards the right way is not too difficult once you understand the terms in this video. By learning this info, I’ve been able to always pay my credit card bill on all of my 15 credit cards in full every single month. I’ve never paid a dollar in interest and my goal is for everyone out that watches this video to do the same!
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DISCLAIMER: Some of the card links and other products that appear on this website are from companies which Daniel Braun will earn an affiliate commission or referral bonus. Daniel Braun is part of an affiliate sales network and receives compensation for sending traffic to partner sites, such as CreditCards.com. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). This site does not include all credit card companies or all available credit card offers.
The content in this video is accurate as of the posting date. Some of the offers mentioned may no longer be available.
Daniel Braun is not a financial advisor. This video is for entertainment and educational purposes only, it is not financial advice.
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Пікірлер: 582

@patrickbennett439 3 ай бұрын

Yes. I do like to barrow money and pay it right before the statement balance to avoid interest. Then take that money back out again right after the statement day.

@flackenstien 3 ай бұрын

I don't have a credit card, mostly due to them seeming sketchy and complex.. but my biggest issue is how do you pay it? Like.. what is the actual process to pay the card off? They existed before the internet right? I assume there are websites now, but like.. I don't have a credit card, so I have no way to know. I like to imagine a guy knocks on your door every month and asks for cash. So glad school taught me Spanish instead of actual things I need in life.

@sherrypace8980 6 күн бұрын

I’m a HUD certified housing counselor and have been teaching this stuff to folks for 25yrs. Not a lot of folks know about housing counseling (and subsequently credit & budget counseling) so I’m glad to see this content on KZfaq. It was succinct and spot on. I’ll be sharing your channel with clients…One comment I will make about zero interest offers - if it’s for a large amount, like an appliance, leaving the money you have already saved in an interest bearing account and using someone else’s money interest free, is a smart way to go. BUT only if you are disciplined. Make sure that the payments pay the balance off in full before the end of the offer or ALL the interest will be charged retroactively! Thanks for this great content.

@donaldhollingsworth3875 3 ай бұрын

I always pay off my credit card balance 2-3 days before it is due.

@Z3R0FiR3 8 ай бұрын

As someone who just got their first credit card, thank you for breaking this all down into a way that makes sense!

@intercityrailpal 5 ай бұрын

Get rid of it! Use cash as much as possible. The banks business plan is to have you over spend and run up bills you can't pay off. Every time you swipe that card there is hidden money transfer fee. If you don't have the money, Your going to have a lot less using a card. The average person owes 15,000 dollars at all time high interest rates. Plus every business you charge at has fees and charges applied to them. The smaller the business the more they get screwed. That is why many places charge extra for that card. Stop! Think! Be smart.

@ldballoon4 4 ай бұрын

I pray for you...

@tamarar.4642 Жыл бұрын

Good grief lol 😂! That was a lot. Basically pay your full statement balance by the due date to avoid interest. Im homeschooling my daughter and I pray she gets this with plenty of practice test BEFORE real life happens lol 😂. I don’t charge anything I don’t already have money for, so I’ve never worried about the due date. I use my cards for rewards by paying bills. Once I get my reward money, I stuff my savings envelopes. Im saving this video for my daughter.

@LoveLightVibration Жыл бұрын

Sounds like you’d be a trustworthy parent who could get her child’s credit score a head start by adding her, and then storing the card away, not to be used. When she’s old enough she’ll be happy to learn she already has some years to her advantage. Thank you for teaching her so young. 🤍

@DJCloroxx Жыл бұрын

No kidding. TL;DR version. Pay everything. If you can't cut the card up until you can.

@timboc105 Жыл бұрын

Some people aren't as perfect as you and can pay their balance off every month especially when they get slammed with unexpected doctor or car breakdown bills and have to pay by card.

@timboc105 Жыл бұрын

@abigmonkeyforme Fake money bags like you times are coming

@timboc105 Жыл бұрын

@abigmonkeyforme No chips on shoulders here..Just the church of the painful truth!

@ES-uf7zp Ай бұрын

This information is severely needed for young adults, and even older adults. This type of real life info should be taught in school to educate students of what this looks like in real life. I was never taught in school so I had to learn by getting into, and working out of, overwhelming credit card debt. Great job on the video.

@ES-uf7zp 28 күн бұрын

@traybern yes, you’re right but not real life examples of what it looks like when it comes to loans, savings, etc. or at least they didn’t at the school I attended.

@createandimprove7 6 ай бұрын

Thank you so much!!! You have answered my question that I was not being able to get clarity from the credit card company customer service.

@HeatherAckroyd 3 ай бұрын

To eliminate the chance of forgetting to pay, you can set up an automatic payment through the credit card website to take out the minimum payment (or any other amount you tell it). If you pay more than that amount manually before the payment date, it doesn't take out the automatic payment. But if you forget, then at least your minimum is paid and you don't get a late fee. Then when you get the email saying your automatic payment has been made, you slap your forehead and go to the website to pay the current balance (because yes, keeping the credit utilisation low is definitely a good thing).

@celieboo 4 ай бұрын

Great explanations. It took me like 20 years to figure credit card bills out. I put two reminders on my calendar. One is a week before the payment due date and one is 3 days before.

@ron1061 Жыл бұрын

Excellent tips as always, Daniel! Great video and I love my CHASE Freedom Flex card! 😊

@lisaruiz6799 Ай бұрын

THANK YOU for explaining the Grace Period. You just confirmed what I've been TRYING to figure out for MONTHS/YEARS! THANK YOU, THANK YOU! And, yes, I subscribed.

@Daniel_Braun Ай бұрын

Great to hear that the explanation was helpful! Thank you so much for watching and subscribing! 👍

@patrickeppler6438 6 ай бұрын

Great video. All great advice. During the GFC 2008 time frame credit card companies where scrambling to shed excess exposure. I had a few credit cards closed during that time as I had not used them at all in several months or years even. The cards I had balances on were not touched but did notice on some the credit limits were reduced. I mention this as were are possible moving into a recession, especially if interest rates stay elevated and we could see a repeat of the same.

@slightgainz6970 9 ай бұрын

U earned a new sub Man U explained this so perfectly bro I’ve watched a couple vids that left me confused but yea man you got this great job

@akashvyas5070 Жыл бұрын

this was very informative and helpful! i love how you chose your words very carefully when explaining that made it 10 times easier to understand. you're awesome

@mikesawyer1336 Жыл бұрын

My best best advice, around credit cards is make 2 payments on your credit card each month. Pay it off on the first of the month and then pay it off again on the 15th of the month. Assuming your card is actively used you'll never pay a late charge, and you will never pay interest. And you might also never forget to pay a card for the month. I started doing this 20 years ago. Best thing I ever learned.

@topazsun Жыл бұрын

Hi there. If you have a remaining balance after doing this method of paying on the 1st and 15th - will you still be billed with interest because you still have a remaining balance?

@mikesawyer1336 Жыл бұрын

@@topazsun yes, you will always be build interest on a remaining balance that's carried over to the following months. However you will always pay the minimum so you won't get a charge for that. The first best practice is to always try to pay your credit card off each month. Don't use a credit card to purchase things you don't have the money for. Except in the rarest occasions when you must do this.

@stevenrubio-vasquez3552 Жыл бұрын

this is exaclty what my mom told me it tricks the system

@mehardin 11 ай бұрын

@@topazsun That's' why he said "pay it off" both times. Go online, check your balance on the 1st and 15th, and pay off that full balance. If you are doing it twice a month you'll never miss a due date, and never pay interest.

@Trenchant468 5 ай бұрын

Why not just pay in full in advance of the due date? Is this just to make a payment linked to bimonthly paychecks?

@ItsMeCJ Жыл бұрын

Understanding the meaning of statement opening, closing, and payment due dates, and active/current balance vs statement balance is definitely extremely important for beginners to learn right away. Who would have thought that a simple credit card bill is not so simple after all. Great video Daniel and thanks for clearing the air on the big elephant myth in the room 👍🏾.

@juliancen2815 Жыл бұрын

Amazing video! As someone who was an authorized user for a year, this is a great video for anyone getting their first card.

@joanndavis4843 3 ай бұрын

This is all very helpful stuff. Except in everyday spending with credit card(s), who is going to remember all this while out spending money from these credit cards. It's best just use card(s) sparingly throughout the month and pay off full balance by due date. If you can't do that, pay the last statement due amount with no interest by due date. The balance remaining is what gets the interest. Good luck. Going to need it when start getting mixed up banker lingo and credit cards.

@AllThruChrist 4 ай бұрын

Best breakdown/understanding providing piece I've ever come across, as it pertains, to paying by statement bal-closing:.Thanks.

@shayc.2562 5 ай бұрын

You're explanation was magnificent. Thank you! 👍

@piratedragon703 Жыл бұрын

Geeez... he talks fast... but covers a lot so not even mad about it.

@tinacarvelli6884 8 күн бұрын

Really slow it down!

@synergy1772 Жыл бұрын

Daniel I appreciate your the info and enjoy your content 👍🏽

@tlgraber Жыл бұрын

This is a nice, simple, easy to follow guide to credit card statements and payments. The real screenshots are very helpful as well. Thank you for taking the time to spell it out clearly! When I started using credit cards in the 1990's, we didn't have web portals and apps. We did it by paper statements and paper checks and mail. With the instant up to date info these days, many new credit card users have no idea how credit card billing works.

@MaeSekou 10 ай бұрын

Thank you so much for these videos man.

@SpencerJohnsonOfficial Жыл бұрын

Wouldn't it be nice if credit card bills were simple to understand?? I guess it's just too difficult for the big banks to help us NOT pay interest... jokes aside, this is super important to understand if you're new to the credit card game. And even if you've had credit cards for a long time, understanding your bill and all of its intricacies could really help your score reach new levels. Great job on this one Daniel!

@reesedaniel5835 Жыл бұрын

It's not rocket science. To avoid paying interest, pay the entire credit card balance off before the payment due date listed on the statement. It frightens me how dumb society has become. Perfect for the tyrants controlling us....

@SpencerJohnsonOfficial Жыл бұрын

@@reesedaniel5835 Even if credit card bills aren't super hard to understand, that doesn't mean we shouldn't help people who aren't as familiar with them.

@Hans-gb4mv Жыл бұрын

@@SpencerJohnsonOfficial but how would you make it simpler? The example he showed had 3 lines that were printed bigger than anything else, and those are the 3 most important things: The balance, the minimum amount to pay and the due date by which you have to pay at least the minimum and preferably the entire balance. Can't make it much simpler than that if you want to stick with a credit card.

@SpencerJohnsonOfficial Жыл бұрын

@@Hans-gb4mv I think the confusing part for folks is that there are multiple different balances to pay off and multiple different dates to keep in mind. For those of us who have been doing it for a while or watch videos like this, it isn't difficult, but I'm speaking for those who aren't as experienced.

@YukyDoodle 10 ай бұрын

Question for a credit card vet like urself about credit utilization: Does using 50%-70%+ of my credit limit then going down below 10% before closing date (for the snapshot) affect my credit score increase? I have low credit limit for my first card that I want to use for bills but it’ll cut close to the limit which I can pay off quickly but don’t wanna if that will just do more bad than good. Thank you in advance!!

@nancysalgado5027 10 ай бұрын

Thank you for this video and for explaining everything in an easy way. 👍🏼

@Nickkeating99 Жыл бұрын

This video provided me with the knowledge that can put me in a position of success. Thank you Daniel!

@allblackallblackandmorr8888 2 ай бұрын

Thanks. Best advice that I’ve received about CC payments.

@sjg6158 Жыл бұрын

Excellent. A "basics" video that is super important to watch and understand for anyone getting into credit cards. It's videos like this that help people be responsible from day 1. As usual Sir, brilliant work.

@dwpinspectot Жыл бұрын

Well done both a good explanation and the emphasis on paying the ENTIRE balance every month and keeping the utilization low are both dead on!! The Utilization amount if kept low will bounce your scores faster than anything. I use my personal CC for both business and personal expenses. I have more often than not made two or even four payments to keep the amount low. Why you ask?? Because first you should never carry a balance and pay interest or you will be a slave to debt. Second if you think of a credit card more like a debit card you will win in finances and see a 800+ FICO faster than you can believe.

@CastroMKE Жыл бұрын

I've watched a few of your videos now, but this one earned you the sub. Definitely the most well explained video on this topic on KZfaq!

@leemaricachouinard7127 11 ай бұрын

Took a year for me to build my score from mid 400s to 600 where I’m stuck now. I have 2 credit cards, a self account, auto loan. Everything paid on time and utilization 5-10% paid off every month. Thinking of applying for a new credit card or something cause my score isn’t increasing Great recommendation, this helped me alot. *850 credit restoration* was one of the best things I had come across as far as boosting your score. I don't remember the actual number of how much but it was somewhere cool!!

@leemaricachouinard7127 11 ай бұрын

850 Credit Restoration on their website

@bridgethall1065 Жыл бұрын

Awesome video Dan 😀

@TheRealMattHerdman Жыл бұрын

Great video Daniel! It’s super important to understand all of these terms if you want to truly take control over your credit score and overall journey. I used to always try and keep my statement balance at 0 because I thought I would be charged interest if I didn’t. I’m glad I learned this wasn’t the case and that I can simply off my full statement balance to avoid interest. Trying to keep it at 0 was super difficult because of the time it takes for charges to post to credit card account. It made using my credit card a little bit more stressful but I’m glad I don’t have to go to such extremes now. I’ve been taking advantage of the autopay features on my cards so I can pay off my full statement balance every month to avoid that interest.

@dtsang508 Жыл бұрын

What prompted you to think you’d need to keep the balance at zero? Common sense should have redirected you to a more reasonable conclusion. SMH…

@lizreynolds4554 4 ай бұрын

Thank you for sharing this with us. This was very helpful.

@Daniel_Braun 4 ай бұрын

Glad to hear you liked it! Thanks for watching 👍

@ChaseYokoyama Жыл бұрын

It's ESSENTIAL to understand these basics in order to take advantage of your credit cards 🙏🏽 well said Daniel (banks despise videos like this 😆)

@trucks1451 5 ай бұрын

Great video, Daniel. Thank you.

@anthonymontes7301 Жыл бұрын

Been very addicted to your videos 🤝

@user-cv3bv5or9m Ай бұрын

Thanks for this important information! 😎

@quingofcozycastle 6 ай бұрын

What an excellent video! So much information, which was very helpful---I wish more KZfaq financial education videos were this value-packed. Please keep creating! 🙏

@ruthnehi 9 ай бұрын

This was really useful! Thank you

@DomskiOKKK Жыл бұрын

Earned a new subscriber!

@renemaxime317 10 ай бұрын

Thank you Sir, really appreciate

@janetarnold6292 Жыл бұрын

Well done! ⭐️

@bioguerrero6966 3 ай бұрын

Thanks!your voice is perfect!keep me awake thru that Long Credit Journey!😁a lot info...to lean from,thank youuuuu for your vid.chao..👋🙏💪🇨🇴🇺🇲❤

@LionsDad. Жыл бұрын

This info is amazing!😎🔥

@Daniel_Braun Жыл бұрын

Thanks so much, glad you liked it!

@boblossie3192 5 ай бұрын

This is all great! THANK YOU ! ! !

@Daniel_Braun 5 ай бұрын

Glad to hear that you liked the video! Thanks for watching 👍

@medina1718 Жыл бұрын

Great video. I didn’t know this but I’m also very good at paying on time and never missed a payment.

@bc1969214 Жыл бұрын

They used to have a thing called double cycle billing to increase what you owed even if you paid in full the previous month. Outlawed in the U.S. in 2009.

@mollypaintscows 5 ай бұрын

@@decimanightelf4135. Miserably 😅

@Dailypeachhousewives 2 ай бұрын

It’s crazy what was allowed prior to the financial crisis of 08’

@ABasedTohan Жыл бұрын

The explanation at 6:14 is when I Subbed this was the best video I’ve seen put together on this and I’ve watched dozens 👏🏾👏🏾👏🏾

@kzlorenz 2 ай бұрын

Good stuff!

@LearnwithReem 3 ай бұрын

amazing content

@carolinebouey533 Жыл бұрын

Thank you for sharing all these useful informations.😊

@leemaricachouinard7127 11 ай бұрын

850 Credit Restoration on their website

@raulreid8294 Жыл бұрын

The knowledge you gave about statements 💯🔥💯👍🏾

@Daniel_Braun Жыл бұрын

Happy to share it! Thanks for watching Raul!

@j.taylor822 Жыл бұрын

Awesome vid. If u ever wanted to know how to have utilization of 1-3% AND pay NO interest, this breakdown is spot on!!

@xyzzy64 Жыл бұрын

even as someone who knows a lot about credit cards, I actually did not know about statement balance being what is used for utilization. I always thought it was total debts / credit limit. this video was super helpful

@luisalcocer6457 11 ай бұрын

850 Credit Restoration on their website

@artharrison294 5 ай бұрын

What works well for me, and I’ve been fortunate enough to have saved a cushion, and have consistent income, is to use the credit card to manage cash flow, and to have pre scheduled auto pay on 1st, 10th and 20th of every month. Ideally it results in a zero balance 3 x per month. adjustment transfers can always be made to bring the amount due to zero, or to adjust the scheduled payments to the amount due. Haven’t paid cc interest in a decade or two.

@coopyduck6901 Жыл бұрын

Great info. Goes really really fast though.

@TVHouseHistorian Жыл бұрын

I always pay off each transaction the day it posts, and never keep a balance. It's a points card, and the goal is to accumulate enough points to redeem every year when I travel. If I don't have the cash to pay for the item right then and there, I don't charge it to my credit card. It keeps me honest.

@intercityrailpal 5 ай бұрын

I ask and look for cash discounts and skip the cards. That rip people and business off with hidden charges. Yes points that are worth less and less! No thanks

@TVHouseHistorian 5 ай бұрын

@@intercityrailpal I totally believe what you say. I watch my statements like a hawk, and have never spotted any kind of hidden fees. Just the $95/year it costs to keep the card open. So far, between the free bonus nights and points, it’s saved me thousands on hotel stays.

@jackiesmith787 5 ай бұрын

Me too

@TimesUp8888 3 ай бұрын

This is the best advice, thank you so much! I'm someone who needs to do it this way 💯 so it's "just like using my debit card" and I spend it like cash. I so appreciate you sharing this strategy. No one ever taught me anything really, wish I'd heard this forever ago. ❤

@intercityrailpal 3 ай бұрын

@@TimesUp8888 There are major issues too with debit card, check out being hacked and what happens then.

@marysews1 2 ай бұрын

I got my first credit card in the 1970s and I've always paid my bill early. That was probably because I read the due date on the bill (and the terms on the back) and allowed time for my check to reach the bank via mail before the due date. Now that I'm older, I pay my credit card bills off electronically twice each month.

@mauricetakett5688 6 ай бұрын

This info is f golden

@barbarasapp1234 Жыл бұрын

Great😊 information, only one thing need to slow can for some of us. Talking a mile a minute ago. 😢

@patriciayohn6136 Жыл бұрын

Excellent video and for anyone out there if you can get a job as a bank teller, even a part time teller, YOU WILL UNDERSTAND ALL OF THIS INFORMATION! You may not be getting paid a lot, but the information you will gain in the long run will be worth it!

@sam12587 Жыл бұрын

Before I’d graduated college I worked 3 or 4 different entry level bank positions. All of them taught me so much. Fraud clerk and mortgage assistant were very interesting.

@Strawberrycheesecake364 Жыл бұрын

I worked at several banks and none of them handled this. Credit cards were sent to customer service over the phone unfortunately.

@tracyseelbaugh3754 9 ай бұрын

I’ve been doing the 15 & 3 hack. It’s made my credit score go up tremendously.

@jungleninja-tropic5690 Ай бұрын

is that make 2 payments, one 15 days before, and one 3 days before due date?

@wells2429 5 ай бұрын

Can confirm. Been doing this for over a year now. My score shot up.

@kytacomaguy Жыл бұрын

Well Done !!

@Lasertrac 11 ай бұрын

Every highschooler should be learning these things as early in their life as possible.

@sipvypkbj103 3 ай бұрын

These day's eh.. Long time 🤔 Young Ppl did Not have credit cards like now That Maybe 60 yrs Ago

@APennyPinchersGuide Жыл бұрын

Great video as always Dan! Question for you, do you use automatic payments or manual?

@splurgeey1644 Жыл бұрын

@Daniel Braun I just discovered your channel a week ago and it has been the most helpful so far. I had a question I just opened my first card a day after Christmas and it’s a Amazon store card it only works with Amazon so I need a 2nd option I only want maybe 6 cards max so I was wondering what I should go for I was really planning on the Amex trifecta I’m not sure if that would be the best option for me but I did get pre approved for the Amex gold card and was wondering if I should take it I also was curious of a 3rd card I could replace the business card with since I do not have my own business or should I just go for the chase trifecta also after more research into the credits provided from Amex I am confident I will use almost all of them in full

@OTseven Жыл бұрын

Excellent. Embarrasingly, there are factors talked about on this vid that I did not know. I'm a highly educated professional with years of a perfect credit score. Still, I was unaware of some points until you mentioned them. 5hx much.

@tca666 Жыл бұрын

You have to pay it in full on or before due date. By hook and by crook you have to i dont care if you borrow another money but pay it in full and never miss the due date everrrr

@zurkpdx1 Жыл бұрын

Three things 1. Great video, most important information most people need to know. 2. I was occasionally missing payments because I would lose a statement or forget one. On day the simple solution hit me. I made a form with all of the bills listed in order of their due date. All of the bills due by the 25th I pay on the 10th and all bills due before the 10th I pay on the 25th every month I print out a new list every month and write down the amount paid and the date. 3. If a person has an emergency expense like car and refrigerator repair would it be better to put them on the credit card and then borrow the money from your bank or credit union to pay off the card.

@JohnSmith-qj6bj 11 ай бұрын

I like that 10th/25th rule. That keeps it simple, will be using this moving forward. Thank you.

@sunset6010 10 ай бұрын

BRILLIANT !!

@jayefoster3212 4 ай бұрын

Really good information. It makes so much more sense when you explain it. I do, however have one suggestion… You talk really really really fast and your sentences run into each other and I found it hard to grasp your meaning through all your really hard words. But thank you for the great info. I’m sure it will make a difference in my life.

@Regina.Clarke Жыл бұрын

Setup autopay with the minimum, so you don’t ever miss a payment. Create a spreadsheet or use an app to plan when you pay your bills. Make your full payments on those dates. I align it with my paydays. Ever since I made this change, I have had no accidental misses in payments. I like the spreadsheet method since I have a chance to review numbers across the board for all bills and savings.

@danymalsound Жыл бұрын

Speaking of apps, it blows my mind that Comenity doesn't have one...

@geraldlair2888 Жыл бұрын

"Setup autopay with the minimum, so you don’t ever miss a payment" THIS!

@Brianpeckin Жыл бұрын

That not the issue you want a balance reported for utilization

@Rye_Toast 5 ай бұрын

That's not a bad idea. Since I get paid every other week I just pay off the current balance every payday.

@Ghost_of_Gaby Жыл бұрын

This guy is a master of Video cut edits

@NoCaping Ай бұрын

This is why too much gooodness gracious i felt like i was at a live auction

@marceld6061 5 ай бұрын

I worked with a guy that would deposit his entire pay cheque to his credit card. He bought absolutely EVERYTHING, every month, on his card. He paid every bill he could with his card. His balance was always paid off when his pay cheque arrived. Of course any "extra" money he had on the card didn't earn any interest but the banks weren't paying interest on chequing accounts anyway. It was a travel rewards card . Every year he had enough points to go to France with his wife on vacation. We now do the same with our cards.

@packman536 Жыл бұрын

'Use your credit card like a debit card'. That's a keeper! Now... IF you can do this, then you have a pretty good handle on your checking account. The next step is auto payment of the stmt bal. on the due date. That way you don't have to make the payment. It's done automatically by the card company. You can also set it up for an amount or the min..

@clausellray3949 Жыл бұрын

Great content thanks for sharing and keep the content coming

@donnafarmer111 3 ай бұрын

The best thing that they ever did was to send those email prompts. If you pay as soon as you get one of those you dont have to worry.

@oltexify Жыл бұрын

I appreciate that the two things that you bought with your CFF were paypal purchases in Q4 2022 because I remember that paypal was a bonus category for that quarter!

@Barbara-lu7ch 10 ай бұрын

Autopay can turn into autopay HELL. Don't do it. Set up alarms, mark your calendar, pay when you get the bill.... don't do autopay. Also if someone gets in my account online I know it was not me because I don't do that. CS over 800 and I'm low income, thrifty but not cheap.

@brooklynsveryown2637 Жыл бұрын

When are you getting the Charles schwab Amex platinum? Please make the video well and go into depth I’m waiting to pull the trigger but I’m still doing my research

@lsa5662 Жыл бұрын

Great job, all information, and no annoying music, or flourishes!

@rafaeldelvalle6836 2 ай бұрын

Good detailed video, thanks! 1 question, you said you aim for 1-2% on the credit utilization but on the statement you had a $300 balance, which would go over. Does paying a 300$ balance during the billing cycle and leaving 1-2% left optimal?

@ArticulateArena 2 ай бұрын

F credit card scam. I git a card st 18. Paid 200 a month on it, early, literally giving them more money than i owe, and they always claimed it was late

@grogu_2003 3 ай бұрын

That explanation of the payment due date being before the statement close date finally cleared so many doubts I had, thank you so much!

@azrielfeldman7396 Жыл бұрын

Hey Daniel Thanks for another great video!!! Quick question... I get an allowance on the first of every month, therefore I would like to pay my bill at the end of each month. Should I switch my payment due date to a specific date, and if yes which date would be good? Thanks so much, huge fan of yours!!

@jilbertb Жыл бұрын

Just pay the bill the same day you charge it. Why wait?

@theonlybuster Жыл бұрын

Good video! I remember first learning about CC, I was always told to keep a small balance to carry over each month. I'm pretty sure this advice was spread by credit card companies in an effort to put more money from interest and fees into their pockets.

@lightninguru26 Жыл бұрын

Utilization= Debt. The closer to 0 the better. 0 is the goal.

@jilbertb Жыл бұрын

Absolutely. Even if you carry over say $2.50, read the fine print - minimum interest chg is $1. If the credit card co. has 1M customers and 25% of them are carrying over $2.50, and pay that extra $1, they are still making $250K a month on that $1!!!

@6861Charley Жыл бұрын

When you pay your credit card bill full payment every month promptly you get some perks like rewards such as airline mileage and cash in addition to increase in your credit score.

@classical7 Жыл бұрын

Awesome info! Thank you.

@Moneykingkevo 2 ай бұрын

when i first got my first credit card i made these same mistakes thats i looked at almost every video and taught myself

@recoveringsoul755 5 ай бұрын

Basically don't buy anything on credit unless you can afford to buy it. Then you just pay the bill in full when you get it. Use it to build credit history. Or emergencies. Some things require CC like i think renting a car. I would make sketchy purchases with a CC because you can dispute them.

@rainmwhop Жыл бұрын

I love how you mentioned some people have a due date before the close date because that was a problem I was having when watching your videos. A problem I think I have is I pay everything before the close date, so I have $0 by the due date .. does it look like I don’t use my card??

@jilbertb Жыл бұрын

No, that's fine. Your report will reflect you pay in full, which is good.

@deatricegibbs7453 Жыл бұрын

Ah I'm learning

@kevinmoore9524 2 ай бұрын

Thank You

@chestersidd1626 Жыл бұрын

Hi Daniel, awesome video!! I was wondering if it’s okay to pay your credit card in full before receiving your billing statement? For example, if I used my capital one credit card to pay for gas on January 25 but quickly pay my balance in full the next day on January 26. Will this affect my credit score in a positive way since my credit utilization will be 0%. I know people would pay majority of their balance before the billing statement, so they have a credit utilization below 10% and avoid lowering their credit score. I was wondering if there’s a downside of paying your bills in this kind of method. Thanks and continue making these awesome and informative videos on credit cards.

@carlosbernal6035 Жыл бұрын

I’d like to know the answer to this, too.

@adrieljones4526 Жыл бұрын

I pay my cards every Friday. Anything I charged that week. I’ve been doing it for years. No complaints from the companies.

@jilbertb Жыл бұрын

That's what I do, shop and pay the bill the same or next day. (Because you don't spend what you don't have money to pay for!) But it still registers your credit utilization on what you charge, not on what you pay.

@StevenTheGreat_ Жыл бұрын

New to this credit card thing and still haven’t got mine. But I’ll just pay 2 days before the due date every month to be safe.

@gagesaenz3864 Жыл бұрын

Daniel, how do you feel about people who recommend not micromanaging your payments? i.e. just using the card and paying the statement balance in full every month, without paying it down between statements. The argument is that this will show lenders that you're using more of your credit line and you'll be more likely to get a credit line increase. And even if you carry say 5-10% utilization, utilization has no memory and you can always pay that down to 1% right before you try to get a loan or a new card.

@kamilhoffmann2410 10 ай бұрын

That's interesting! Anyone comments? It's confusing me: if you start with credit £1,000 only (it's really hard to keep £5,000) or go for another credit cards?

@ziggy29 9 ай бұрын

I think it depends on your situation. For someone without "elite" credit and a fairly low credit line, even a $500 balance on a $2,000 credit limit is 25% utilization. That's better than 30% which is often considered the maximum "good" utilization amount, but well above the 10% which is considered ideal to stay under. Such a person might do well to pay off over $300 just before the billing cycle closes, so the statement balance -- the one typically reported to the bureaus -- has less than 10% utilization (and anything under 10% is good enough). If you don't have elite credit and you plan to be applying for more credit soon, this can move the needle quite a bit. But there is micromanagement. If someone has a (say) 830 FICO score and they have a $3000 balance on a $20,000 credit limit, reporting more than 10% utilization to the bureaus may knock the credit score down by a few points, *maybe* to 825 for a month, but it will still be a credit score that pretty much qualifies them for anything to the point where if they are ever denied or not given the lowest interest rate, it won't be because of the credit score. So for people with really high scores and high credit limits, it is easy to overthink this. You don't need an 850 or even an 830 and maybe not even an 800. Someone in that situation will still get the most premium credit deals if they stay under 30% utilization.

@thomascho8975 Жыл бұрын

I guess my question is: do items that I buy during the end of my billing cycle, despite being pending, something I have to pay off in that same cycle. Or does pending items go to the next statement?

@phototouch 2 ай бұрын

You can also set up autopay to pay the last statement balance on the due date. That way you never miss a payment. Just make sure you have the money in your account to cover it.