Do you want to change your credit card due date to better suit your needs? Find out how!
Your credit card due date has a huge power over your financial well-being. Missing a payment can lead to late fees, penalty interest rates, and a drop on your credit score. But did you know you can change it to better suit your needs?
Let’s talk about what it is and how you can change the due date, so you can prevent future fees and issues with your score. Also, if you want to check out more financial tips on our website, you can click on this link!
What is a Credit Card Due Date?
It is the specific date by which you must make at least the minimum payment on your outstanding credit card balance to avoid late fees and potential damage to your credit score. It typically falls around 21-25 days after your statement closing date, which is when your billing cycle ends and your new statement is generated.
For example, if your closing date is June 15th, your due date might be around July 10th. This grace period allows you time to review your statement, calculate your minimum payment, and make a payment before incurring any late charges.
Credit Card Due Date vs. Closing Date
These two terms often get confused, but they play distinct roles in your credit card billing cycle. Their difference is:
- Closing Date: marks the end of your billing cycle. All your purchases made up to that date will be reflected on your next monthly statement. Transactions made after the closing date won’t appear on your current statement but will be reflected on the following month’s bill;
- Due Date: is the deadline for making at least the minimum payment on your outstanding balance as shown on your statement.
How to Change Your Credit Card Due Date
The process can differ depending on the issuer, but generally involves these steps:
- Consider The Best Time To Make Your Payment: assess your budget to identify the most convenient time for making payments based on your cash flow. For instance, if the majority of your paycheck at the beginning of the month goes towards rent and utilities, moving your credit card due date to later in the month might help you manage that expense better;
- Contact Your Credit Card Issuer: some issuers allow you to request a due date change directly through your online account. If this option is not available, you may need to call the customer service number on the back of your card or use an online chat feature to speak with an agent;
- Select Your New Due Date: while some dates may be restricted, you typically can choose a new payment date between the 1st and 28th of the month.
Tips
- If you have multiple cards, consider how a due date change for one might affect your ability to manage all your payments efficiently;
- Allow some time for the due date change to take effect, once it might not be reflected immediately on your next statement;
- Many credit card issuers offer automatic payment options that can help you avoid missing a due date altogether.
When Does the New Due Date Take Effect?
The timeframe for a new due date to take effect varies depending on your credit card issuer. Some might implement the change immediately, while others might require a full billing cycle to process it. Be sure to confirm the effective date with your issuer when requesting a change. Remember to pay according to your old one until the change happens to avoid getting surprised by late fees.
How Often Can You Change It?
Some issuers might allow occasional changes, while others might restrict it to once a year or every 90 days. It will depend on your credit card company’s policy, so contact them to understand its terms and conditions.