How to pay balance in full?

edited 30 November -1 at 1:00AM in Credit Cards
3 replies 690 views
moatmeistermoatmeister Forumite
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edited 30 November -1 at 1:00AM in Credit Cards
Mrs Moatmeister has a credit building credit card from Aqua.

In terms of increasing her credit rating, and assuming a credit card balance of £300 to be paid in full before the due date, does it make any difference if she makes one payment of £300 or 3 x separate payments of £100 all to clear before the due date?

Replies

  • Emily_JoyEmily_Joy Forumite
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    No, as long as she pays after the statement is ready.
  • [Deleted User][Deleted User] Forumite
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    MoneySaving Newbie
    Either way, so long as it's cleared by the payment due date.

    Also she's improving credit history, not a fictitious rating or score
  • Ben8282Ben8282
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    No difference whatsoever. Best idea would be to set up a full balance direct debit.
    Of course, if she is paying interest on the balance that she now wishes to clear but can't afford to clear it all in one go, then the 3 separate payments makes sense as it will reduce the balance on which interest is being charged.
    Alternatively, if she is near her credit limit and needs to use the card but can't afford to clear it all immediately, making the 3 payments would make sense so that she can spend again after each payment.
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