Should i pay off my credit card balance Every Month?

JaynKel_2

I am applying for my first credit card, basically for a bit of security when buying things, Holidays etc, i will always have the money to pay it off, but i'm unsure whether to do this everytime i use it, cause as ive read on the site this can cause a bad effect of your credit score, I was thinking whether to make 2 or 3 payments first then pay the balance. Can anone help
Cheers

YorkshireBoy

You don't need to 'buy' a credit history by incurring interest (if that's what you meant?). Use the card and pay it off in full each month.

However, if it's got a 0% introductory offer on it then by all means use it, but make sure you have the funds available to settle in full before you start to incur interest.

NickX

If you have the funds available and you are not on a 0% promotion then definitely pay off in full. It will cost you dearly otherwise.

Good Luck.

johnllew

NickX wrote: »

If you have the funds available and you are not on a 0% promotion then definitely pay off in full.

Set up a direct debit (for the full amount) so you don't forget - you will also get the maximum normal interest-free period that way by leaving it till the very last possible moment to pay.

Jvic28

I think the point that JaynKel is trying to make is that will future credit applications be turned down as they can see that they won't make money off her. Any views on this?

NickX

Jvic28 wrote: »

I think the point that JaynKel is trying to make is that will future credit applications be turned down as they can see that they won't make money off her. Any views on this?

This has not been my experience in the past.

prudentsaving42

Please keep in mind that the banks still earn money from every transaction even if you don't pay interest on it. So you are still making them a profit by paying off in full every month. :rolleyes:

Kavanne

I have always paid all my CCs on time each month. Only once paid interest when I forgot to pay my nationwide card (now paid by direct debit!!) and I have no problems getting new cards.... in fact, nationwide just let me increase my limit!

Jimi...

Just wait till you get the statement in the post and pay off the full balance, no need to make a couple of payments then pay off the statement balance.

Francesanne

JaynKel wrote: »

I am applying for my first credit card, basically for a bit of security when buying things, Holidays etc, i will always have the money to pay it off, but i'm unsure whether to do this everytime i use it, cause as ive read on the site this can cause a bad effect of your credit score, I was thinking whether to make 2 or 3 payments first then pay the balance. Can anone help
Cheers

I now pay my c.c. balance off in full EVERY month. I hate paying charges and I rest easy knowing that I have no debt that I can't manage. It's so very easy to run into debt when using a credit card. Please act with caution and don't land yourself with a HUGE bill.

TIdoubleBS

If you pay your balance off in full each month... your credit score should be perfect... the application of a credit card is based on your credit score... thus you will have no problem getting a credit card in the future... my $0.02...