Barclaycard Early Repayments

Rosco32

Hi,


I have a Barclaycard which I do not use very often, however my better half and myself have booked a weekend away in London so I paid for the train tickets and hotel using my Barclaycard. Ive just made a faster payment to clear the whole balance off. The statement has not been issued yet, normally falls around 22nd of each month. Ive just realised I do this each time I use the Barclaycard and pay in full before the statement is issued. Therefore am I not making the best out of my repayment history as Experian is showing the payments I make but the balance is always zero as I paid before my statement was created.


Should I stop doing this and wait for the statement then pay as it looks like I'm currently paying a zero balance?!


Thanks

CLAPTON

if you wish to build a good CC credit history then use it the conventional way
use card (regularly), wait for bill, pay in full
set up a DD for the full amount if you are liable to forget

datlex

I don't think it will make any difference so long as you pay in full and before the due date for any future purchases.


Paying earlier can allow you to take advantage of more credit without actually increasing your limit.


eg: limit £500. Week one spend £300. Pay off £300. Week 2 spend £200 Pay off £200. Week three spend £300 Pay off £300. Week 4 Pay £100 off £100. Over the 4 weeks you'll have had nearly double the credit limit without any charges!! (Worth it if you are using your card for large over £100 purchases or you have a cash back/points card).

Rosco32

I thought that was the case. Damn wish I hadn't made the faster payment earlier!

Rosco32

And that payment must also be approaching my account as my available credit has gone back up to the £8k limit.

CLAPTON

Rosco32 wrote: »

I thought that was the case. Damn wish I hadn't made the faster payment earlier!

it doesn't matter of a single payment : just let the bill arrive next time

Rosco32

I suppose its not having any negative effect I just got used to paying it off early as I don't like debt, but agree I will be paying my Amex card when the statement arrives so will do this for the Barclaycard when I next use it!

thenudeone

datlex wrote: »

I don't think it will make any difference so long as you pay in full and before the due date for any future purchases.

Yes it will, because as the OP has already stated, it appears to the credit agencies' customers that you always have zero balance, i.e. you do not have a track record of USING credit responsibly.

Set up a DD to pay it in full every month is the best way to go.

Rosco32

Good point. I will wait for statements from now on!

opinions4u

Stick the money in a savings account while you wait for the statement.

The year end interest might get you a bar of chocolate!

Freddo time!

datlex

thenudeone wrote: »

Yes it will, because as the OP has already stated, it appears to the credit agencies' customers that you always have zero balance, i.e. you do not have a track record of USING credit responsibly.

Set up a DD to pay it in full every month is the best way to go.

Not true. You would only show a zero balance if you had paid off everything prior to the day the bill is generated. You can borrow and pay off numerous times within that time, it then appears you have a low usage ratio.