Quote:
Originally Posted by Drifty86
Her strategy of the 2 weeks early comes into play by spending lets say 40% of the limit and not spend any more for the rest of the month, pay it off by the middle of the month and you're good (Similar to what PineappleFriedRice mentioned of paying off as you spend ( interesting). She's a personal banker at my local bank not my Banker (Sorry for the confusion) |
But that doesn't make any sense. You don't get anything for paying it off early. Is she suggesting that when you receive your statement for the month of June on July 1st, the statement that says right at the top "Payment due August 1st", there's somehow a hidden incentive to paying it off by July 15th?
Frankly, from the phrasing of pineapplefriedrice's response, he doesn't seem to know how credit cards actually work. There's no interest until you've failed to pay off your statement balance before the due date. If you charge something June 5th, why would you make a payment on June 6th? Wait for it to hit your statement on July 1st, then pay it off on July 31st. As long as it's paid before August 1st, you won't owe any interest. There's really no point to making small payments on a daily basis, just wait til you get the statement then pay it.