Making credit card payments on time

Understanding how credit card payments work is essential if you want to avoid fees or charges. When used responsibly, a card like marbles could help you stay in control of your personal finances.

Managing your credit card

Credit cards provide a multitude of benefits, but there is a lot to learn about how to acquire credit and utilise it effectively. Understanding credit scores, credit repair and credit card security is an essential part of managing a credit card responsibly. Managing your credit card correctly will help you build a credit score, provided you make at least a minimum repayment and stay within your credit limit.

Calculate your monthly income and outgoings with this simple budgeting tool , on the Money Advice Service website, and ensure you protect your credit rating by always budgeting enough to meet the minimum payment each month.

Direct debits

If you need to carry a balance on your card, make sure you have a Direct Debit in place to cover at least the minimum repayment. Paying on time is vital in building up your credit history and enjoying a brighter financial future. Setting up a Direct Debit will help avoid any late payments.

You can set up to pay the minimum payment, full payment or a fixed payment amount. If you pay a fixed payment and this is less than the minimum payment, your credit card provider will usually collect the minimum payment.Read more about making minimum payments. Allowing you to choose your own payment date is one of the many ways marbles helps you to stay in control.

Minimum payments

When your credit card balance isn’t cleared in full, you’ll have the option to make at least the minimum payment. If you choose to only make the minimum payment, it will take you much longer to repay the outstanding balance and will cost you more in interest. If you can’t pay off the balance in full then it’s better to choose an affordable fixed monthly payment.

Late payments

Late credit card payments usually incur fees. Details of fees will be included in your statement and in the terms and conditions on your credit agreement.

Missing a payment or not paying the amount required could affect your ability to get credit in the future. If you’re struggling to meet your minimum payment, speak to us or The Money Advice Servicecould help.

Monthly statements

You can keep track of your credit card by reviewing your monthly statement that will detail your transactions made that month. Check this over carefully, making sure that there are no transactions or fees that you don’t recognise.

If there are any names you don’t recognise, double check them on Google – some places may appear under a different name if they’re part of a wider group. You can also contact us if you have any queries.

It will also include details of how much you owe, the minimum payment you’re required to make and the deadline by which this needs to be done. Pay attention to this, because if you wish to avoid interest charges you’ll need to pay the balance in full before the deadline.

Representative Example:

Interest rate for purchases34.9% P.A.(variable)
With a representative34.9% APR(variable)
Assumed credit limit£ 1,200