Credit cards are an incredible way of guaranteeing your financial safety. There is so much to it – free domestic airport lounge visits, interest free EMIs, not having the urgency to pay with cash but with credit instead and more. However, it is also a good idea to be wary of your credit cards when you are using them. Credit cards are safe, yes, but if you are not careful around them, they can quickly become dangerous. All the benefits of a credit card that you see could turn into a disastrous situation that involves paying penalties, high interest rates on missed payments and more. Now, to help you manage all these payments and expenses on your credit cards, banks offer a way out. This way out is called the credit card statement.
Want to know ‘what is my credit card statement’ and find out ‘how to get my online credit card statement?’ Scroll down to find all the answers that you need about your credit card statements.
What is the credit card statement?
The basic logic behind a credit card statement is to provide you with an accurate document which contains all the details of your transactions. This includes everything related to your credit card – purchases, amount credited, amount debited, any payments, etc. Do note that these statements are issued by your credit card lender at fixed intervals. Now, it is important that you go through these transactions carefully. This will help you to keep a track of how much you have spent in the last cycle, what is left to be paid and more.
Read more: Best credit card for beginners
Important terms in a credit card statement
Want to know more about what is there in your credit card statement and what additional information it entails? Let’s find out:
Your payment due date in the credit card
When you have a credit card, it is definitely bound to have a payment due date. This date denotes the time by which you must pay back what you owe to the credit card company. The payment due date is the last date of payment, after which you will have to pay late fees.
The minimum amount due in the credit card
There can be times when the total credit card bill is somewhat more than what you can pay all at once. In such cases, it is a good idea to just pay the minimum amount that is due. It is only a fraction of the total outstanding due amount, which you must pay. But do not let this develop into a habit, as the outstanding comes with an added interest rate.
Be mindful of the credit limit
When you are applying for a credit card, your lender will certainly inform you about the credit limit that is applied on the credit card issued to you. It simply denotes the maximum limit which you can spend with that credit card. Do note that this limit is set by your credit card lender, based on your monthly income, credit score and more factors.
Read more: How to get credit card for students?
Look at the current outstanding balance
The current outstanding balance is the amount which you are liable to pay back to the bank at any time. It is calculated on the basis of expenses that you have incurred in the previous month.
Billing cycle refers to the time that is spent between two different bills of a bank. This cycle ideally varies between 20 to 45 days.
Keep an eye on the transaction history as well
As you may have already realised, the transaction history keeps an accurate detail of all the transactions you have made using the credit card. You can access these records whenever you want.
Reward points to help you save up
One of the biggest advantages of using a credit card is that it provides you with a lot of discounts and rebates. You can use the attractive gift vouchers that you can get from the bank to maximise your credit card benefits.
Which is the best credit card to go for?
Wondering which is the best credit card that helps you manage all these and get the maximum benefits? Introducing the Airtel Finance credit card! With this credit card, you will finally have it all – plenty of cashbacks, coupons, domestic airport lounge benefits, utility bill payment offers, fuel surcharge waivers, discounts from Zomato/Swiggy and much more.