Credit cards are easy to use, allow you to make purchases on credit, and can help you build a healthy credit score. What’s more, IndusInd Bank’s IndusEasy credit cards offer higher limits, instant approval, and extra rewards for swiping your card. With these benefits, no wonder why they are becoming increasingly popular.
If you are a new credit card user, you are probably content with knowing its uses and advantages, but you must learn how to read and understand your credit card statements. Your statement is essentially a report of your credit card information over a month of use.
This article explains the various sections of your credit card statement and what information they contain. Let’s dive in.
Total Outstanding Amount
This field tells you how much money you need to pay this month. You must pay off the total outstanding amount completely every month to avoid extra charges and carry-forwards in the next billing cycle.
Minimum Amount Due
The minimum amount due is a fraction of the total outstanding amount on your d. And if you manage to pay the minimum amount due, you will not have to pay any late payment fee. However, you will still have to pay the interest on the remaining outstanding balance.
Further, if you fail to pay even the minimum amount due, it will negatively affect your credit report and your credit score. So, remember to check this field and pay it as soon as you can.
Payment Due Date
Perhaps the most important entry in your online credit card statement is the payment due date. If you delay your outstanding bills past this date, you will have to pay the interest on the outstanding amount along with the late payment fee.
The interest is charged as a percentage of the total outstanding amount, whereas the late payment fee is usually a fixed amount decided by your credit card provider. However, this fee is applicable only if you fail to pay the minimum amount due before this date.
Your credit card statement contains three types of information regarding your credit limit:
- Total credit limit: This is the total amount you can spend using your credit card.
- Available credit limit: The amount left after you have made purchases on the card, and you can still utilise it.
- Cash limit:This is the amount that you can use for making cash withdrawals from an ATM with your credit card.
This section is a quick overview of your monthly statement and contains information like your opening balance, credit limit, the payments that you have made, etc.
This section gives you detailed information on the transactions made during the current billing cycle, such as the date and time, amount per transaction, etc. You must check this section carefully and inform your credit card provider if you spot a discrepancy or have any suspicions.
Remember to take time and go through your credit card statement every month. Start by noting your due date, outstanding amount and the minimum due amount so that you can plan your payment accordingly. Besides, using your credit card diligently and always making timely payments is an excellent way to maintain a good credit score.
Finally, IndusInd Bank’s credit cards help you manage your finances and are the perfect companion during a financial crunch. So, visit the IndusInd Bank website and apply for a credit card today!