not able to pay visa bill in full, how much should i pay

[fishandchips]

hi probably a very simple question for someone, our visa bill this month is 1700 euro, we are very careful users of the visa card and to date have never incurred interest charges, however this month due to a cock up with paperwork, we will not have the money in hand to pay the 1700 in full on the due date but could pay 700 euro off it with the balance some days later. i want to know is it worth trying to pay more than the absolute minimum or will we still be charged the same amount for the month if we just pay the bare minimum. obviously we intend clearing the 1700 fully next month.

 

[ClubMan]

Check the terms & conditions of your card. I would imagine that paying as much as possible as soon as possible will minimise costs.

 

[niceoneted]

I would think that there is listed a minimum payment on your bill so once you pay this amount you should be fine. AFAIK from my last bill it is somewhere between 10-15 % of the total. - Each bank will differ. If your bill doesn't specifically state it ring them to check.
Just be careful you don't get into the habit of not being able to clear it.

 

[bleary]

Credit cards give you an interest free period only if you pay off the total due amount -if you don't you pay interest on the whole amount. So there isn't any benefit in paying any extra above the minimum-I believe this is standard on all cards

 

[ClubMan]

I would think that there is listed a minimum payment on your bill so once you pay this amount you should be fine.

What do you mean "fine"? Making the minimum repayment is a recipe for racking up some hefty interest charges. Better to pay off as much as possible as soon as possible (subject to checking the T&Cs).

 

[ClubMan]

Credit cards give you an interest free period only if you pay off the total due amount -if you don't you pay interest on the whole amount. So there isn't any benefit in paying any extra above the minimum-I believe this is standard on all cards

Are you sure about this - in general or for specific cards? Once again I would say check the T&Cs to see how interest is charged.

 

[ACA]

I'd pay as much as I could now and clear the rest next month - it's pointless paying €700 and then clearing the rest a few days later cos the interest would already be added at that point - so if it was me I'd pay €700, (or whatever) now and clear the balance when the next bill arrives.

 

[dewdrop]

while appreciating the interest aspect i would be inclined to pay as much as i could rather than keep the money till next payment date in case i was tempted to spend it.

 

[irishpancake]

What do you mean "fine"? Making the minimum repayment is a recipe for racking up some hefty interest charges. Better to pay off as much as possible as soon as possible (subject to checking the T&Cs).

Not trying to second-guess niceoneted, but it seems to me that what is meant here is "fine" given the circumstances outlined by the OP.

and to date have never incurred interest charges,

i want to know is it worth trying to pay more than the absolute minimum or will we still be charged the same amount for the month if we just pay the bare minimum. obviously we intend clearing the 1700 fully next month.

However, I agree with you that ppl in general should aim to pay fully each month, thereby avoiding interest charges altogether, and achieving better money management by availing of the maximum interest-free period.

But there is always that month where things do not come together, and there is the flexability there to allow for those times.

 

[VanHeusen]

You will need to check with your bank to be sure. Some credit card providers would charge you interest on full 1700 even if you paid 1699.99 (plus they would start charging interest on every new purchase in the next month from day 1), other may apply your partial payment as if your CC was a regular loan.