Statement Balance vs. Current Balance | Chase (2024)

FAQs

Statement Balance vs. Current Balance | Chase? ›

Your statement balance typically shows what you owe on your credit card at the end of your last billing cycle. Your current balance, however, will typically reflect the total amount that you owe at any given moment.

Should I pay my statement balance or current balance? Generally, you should prioritize paying off your statement balance. As long as you consistently pay off your statement balance in full by its due date each billing cycle, you'll avoid having to pay interest charges on your credit card bill.

Statement balance: If you pay the statement balance (or more) by the due date, you maintain your credit card's grace period and won't accrue interest on new purchases. Pay at least this amount each month, and you won't pay interest on your credit card purchases.

Should you pay the outstanding balance? Paying the full outstanding balance each month is ideal. It helps you avoid interest charges and maintain a good credit score. If paying in full isn't feasible, at least aim to pay the minimum due to avoid late fees and adverse credit reporting.

Paying off your credit card balance every month is one of the factors that can help you improve your scores. Companies use several factors to calculate your credit scores. One factor they look at is how much credit you are using compared to how much you have available.

By making an early payment before your billing cycle ends, you can reduce the balance amount the card issuer reports to the credit bureaus. And that means your credit utilization will be lower as well, which can boost your credit scores.

Paying off your monthly statement balances in full each month is the path to avoiding credit card debt. As long as you pay off your statement balance in full, your grace period kicks in and you can make purchases on your credit card without paying interest until the next statement due date.

It's a good idea to pay off your credit card balance in full whenever you're able. Carrying a monthly credit card balance can cost you in interest and increase your credit utilization rate, which is one factor used to calculate your credit scores.

Credit card companies report your balance to the credit bureaus every month, typically at the end of each billing cycle. If you make your payment shortly before your statement date, it could help reduce your credit utilization, which can help you increase your credit score or maintain good credit.

Why do I have a statement balance when I'm already paid? ›

The reason for the discrepancy is that your credit card statement balance is the amount you owed on the closing date of the last billing cycle. Your current balance includes any purchases and payments you've made in the current billing cycle.

Your credit card outstanding balance is actually different from what is known as the statement balance. Whereas outstanding balance is a current picture of what you owe, your statement balance refers to the amount of money that you owed in the previous statement that you received.

Pay your balances on time: Avoid carrying a balance on your credit card if possible. When your statement is issued, you'll have a statement balance and a minimum amount due. If you pay the statement balance on time, there should not be a balance to charge interest on.

If your statement balance is lower than your current balance, you might opt to pay only your statement balance because it's the minimum amount you can pay to avoid interest without tying up more cash than is necessary. That said, you may opt to pay your current balance to avoid debt or reduce your credit usage.

Residual interest will accrue to an account after the statement date if you have a balance transfer, cash advance balance, or have been carrying a balance from month to month.

Remaining Statement Balance is your 'New Balance' adjusted for payments, returned payments, applicable credits and amounts under dispute since your last statement closing date. Total Balance is the full balance on your account, including transactions since your last closing date. It also includes amounts under dispute.

Generally, it's best to pay off your credit card bill in full and on time (aka on the due date) every month. Doing so will prevent carrying a balance and incurring hefty interest charges.

Your current balance reflects the amount of money in your bank account at any given moment. Your available balance is the amount of money you have to spend, including any pending payments and deposits. The key difference is that your pending purchases do not appear in the current balance.

It's a good idea to pay off your credit card balance in full whenever you're able. Carrying a monthly credit card balance can cost you in interest and increase your credit utilization rate, which is one factor used to calculate your credit scores.

Can I spend my current balance? You can, but you have to be mindful about other financial transactions you have made. Your current balance reflects all your money, in addition to funds that are being held or are in transit, such as checks.