paying balance before statement arrives?

ive filled my card up and still have a few days before my statement / minimum payment required.
is there any disadvantage by making a manual payment early to clear it?
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Comments

  • robbo990
    robbo990 Posts: 176 Forumite
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    edited 25 November 2022 at 10:00AM
    No, card usage, balance and payments are still recorded to the CRA's regardless. 
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  • ok thanks i had in mind that it was only recorded if you paid a statement balance 
  • MikeJXE
    MikeJXE Posts: 3,849 Forumite
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    Not sure how it works on all credit but on Halifax I reached my credit limit early by few days so I paid it off, at the end of the month they still stopped the full amount which then left the credit card in credit 
  • Ebe_Scrooge
    Ebe_Scrooge Posts: 7,320 Forumite
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    edited 25 November 2022 at 10:36AM
    Depends when your statement is actually produced (not necessarily when you receive it).  If you clear the balance in full before the statement is produced, then a zero balance will be reported to the CRAs for that month.  Not an issue as such, especially if it's just an occasional occurrence.  You could, of course, make a partial payment if you really want to have a balance reported for the sake of your credit history, but it really will make no difference at all in the grand scheme of things.
    Or, just not use your card for a few days until the statement arrives and is paid.
    If you do want to make a partial (or full) payment before the statement arrives in order to make further purchases on the card, make absolutely sure that your payment has cleared before you go out and put further spending on the card.  You don't want to inadvertently go over your limit and be hit with a penalty charge.
    Whatever option you take, you must make sure to pay the balance in full, whatever that may be, when the statement arrives, if you want to avoid interest and maximise your good credit history.
  • If you pay it off, your statement will be produced at zero so it looks like you are not using it, defeating the point of having a card in terms of credit history
  • ok so best compromise is pay a chunk off now and the remaining balance next week once i have the statement 
  • robbo990
    robbo990 Posts: 176 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    If you pay it off, your statement will be produced at zero so it looks like you are not using it, defeating the point of having a card in terms of credit history
    That is incorrect all spending, payments and balance are shared showing it is being used and repaid.
    Official SOS Club number 004 - Dry until (05.01.10)
  • For most of the cards I have if I pay off the balance or any other amount at least 7 days before it is due then they do not take the direct debit (as long as the payment is more than the minimum amount) if after this time then direct debit still goes through as well
  • Ebe_Scrooge
    Ebe_Scrooge Posts: 7,320 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    For most of the cards I have if I pay off the balance or any other amount at least 7 days before it is due then they do not take the direct debit (as long as the payment is more than the minimum amount) if after this time then direct debit still goes through as well

    If you make a manual payment more than about 5 days or so before the DD is scheduled then the DD amount will be reduced accordingly.  If it's within about 3-4 days of the scheduled DD, then the DD amount will be based on the account balance before you made the manual payment.




  • cymruchris
    cymruchris Posts: 5,558 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper Photogenic
    If you pay it off, your statement will be produced at zero so it looks like you are not using it, defeating the point of having a card in terms of credit history
    I think things have moved on in some of the data sharing world, and now the 'spend' is recorded each month along with the balance - so it would in fact show that you'd spent the money, and cleared the balance. I'll go check later - but one of the CRA's definitely shows 'spend' and 'balance' - not just 'balance'. 
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