What is Statement Balance?

What is Statement Balance?

A statement balance is the total amount of money you owe on your credit card at the end of your billing period. This amount includes all the purchases you’ve made, any fees or interest charged, and unpaid amounts from the previous month. It’s important to pay attention to your statement balance so you know exactly what needs to be paid by the due date. Paying off this balance can help you avoid extra charges like interest.

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3 Things to Know About Statement Balances

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Here are three interesting facts about statement balances:

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1. Avoiding Interest: If each month you pay your statement balance in full by the due date, you won’t be charged any interest

2. Not the Same as Current Balance: Your statement balance only reflects what you owed up until the end of the billing cycle—not any purchases made after that period.

3. Impact on Credit Score: Paying your statement balance on time can impact your credit score, as it may show lenders that you’re responsible for managing your account.