Credit Card Balance On Your Credit Report
Even the slightest amount of credit repair research will tell you that paying down the balance of your credit card each month is one of the best things you can do for your credit. Paying your credit card in full:
• Avoids costly interest charges.
• Keeps your balance to credit limit level low.
• Boosts your credit score.
But, if you check your credit you’re likely to find that your credit report doesn’t reflect your responsible credit card habits. Try as you might, you just can’t get your credit report to show a zero balance on your credit card – and you’re afraid it might be damaging your credit.
Why is that?
Credit Cards & The Credit Reporting System
Your credit card issuer updates your credit card information only once a month, and report to the major credit bureaus just after your statement closing date – which is at the end of your monthly billing cycle. This is the same day your outstanding balance is calculated.
That means when you get your monthly credit card bill the balance shown has already been reported to the credit bureaus, and the fact that you paid your outstanding balance in full will not be reflected until the next month.
But, using your credit card again the next month creates a new outstanding balance to be reported at the end of your next billing cycle – and so the catch 22 continues.
Getting Around The Credit Report System
Even though the credit card reporting system seems to be against you and there looks like there’s no way out, don’t worry. There are a couple of strategies that can help you beat the system and get that zero balance on your credit report:
• Stop Using Your Credit Card For A Month – This is a quick, short term solution that will get your credit card issuer to report a zero balance. If you pay off your balance then wait a month for your next statement to come, the issuer will report a zero balance to the credit bureaus.
• Pay Off Your Balance Early – This is the best habit you can get into to repair your credit where credit cards are concerned. Making sure that you have your balance paid down to zero before your credit card issuer generates your monthly statement means that they will report a zero balance. This is a much more viable solution for the long term because you don’t have to stop using the card.
Voila! You now have a zero credit card balance on your credit report, and the road to financial and credit repair is open.
Professional Assistance From The Most Trusted Arizona Credit Repair Firm
If for any reason you are still having trouble getting that zero balance on your credit report, or if you’re looking for other long-term credit repair solutions, contact Credit Absolute. Our tried and proven methods of Arizona credit repair will help you get the credit scores you not only need, but deserve. Contact us today.