Why should we pay the credit card bill before time? (Some scary things of 2025 that everyone should know)
Introduction
Nowadays everyone has a credit card. Today every other person uses a credit card. Be it shopping, travelling or using something in an emergency, everything is paid for using the card.
But there is one mistake that people often make – they do not pay the bill on time. And this one mistake ruins the entire credit card system.
This small mistake can cause you a huge loss and can put you in a big trap and put you in trouble. It can also ruin your money and credit score.
Today we will understand this very well:
Why is it so important to pay the credit card bill before time? What are the disadvantages and what are the advantages.
Credit card has a billing cycle – usually of 30 days.
After that you get a bill. And that bill contains the information.
How much money you have spent.
What is the minimum amount to be paid.
And what is the last date.
All your expenses are written properly in the bill. Every single expense is written properly in the bill and there is a minimum due which gives you just a small part of your entire amount. And if you do not pay on time and pay after the last date, then you have to pay extra money.
7 big reasons for which it is necessary to pay before the Credit Card Bill Payment Time.
1. To avoid late fees
If you do not pay the bill on time, then the bank charges you an extra late fee of ₹500-₹1500. Which you will have to pay if you make late payment.
Example: I have 3 credit cards and I used the amount of 3 credit cards but due to not remembering the due date or for some other reason, I could not make the payment before the due date. If the bank charges me a late fee of ₹1000 on even one credit card, then my 3 credit cards will have a loss of ₹3000, i.e. I have a loss of ₹3000.
2. Credit Score can fall
Your credit score is your financial report. If the score is good, then you get a loan quickly and that too at a low interest rate and the bank also gives you many more benefits.
Credit card late bill payment spoils the score to a great extent.
And the record of one late payment keeps showing in your report for 7 years.
3. Interest rate is high
When you do not pay the bill on time, the bank increases the interest rate for you.
Meaning, if you spend ₹10,000, you may have to pay upto ₹12,000. The bank can charge 2000 extra. This extra depends on your bank and credit card and your amount, how much extra charge will be levied.
4. Penalty interest can be charged
After late payment, the bank charges a different penalty interest rate – which is more than the normal interest.
This extra interest can even double your bill.
5. Bank’s trust is built
When you pay the bill on time, the bank feels that you are a responsible customer and the bank is confident that the bank’s money is in safe hands. That is why the bank also offers you a lot of things.
You can get from it:
More credit limit
Offers & cashback
Fast loan approval
6. Mind remains
The pressure of late bill payment creates a lot of stress in the mind. If you pay on time every month then:
There is no tension
You do not have to set reminders
Life remains simple
Credit score becomes good
Payment gets cleared easily
7. You get lots of rewards and cashback.
Some credit cards give you reward points and cashback and coupons too.
But if you do not pay the bill on time then:
Rewards get blocked
Cashback gets cancelled
And all your rewards get cancelled automatically
On paying the bill on time, banks give you lots of rewards or offers or cash back or coupons for paying the bill on time.
Simple ways to pay bills on time.
1. Start Auto Pay
Start auto-debit from the mobile app. The bill will be automatically deducted on time and you will not have to make the payment manually.
2. Make a Monthly Budget
Make a budget every month in which keep the money for the bill separately. And keep the necessary household expenses separate. This will ensure that there will not be excessive expenses and you will have a good amount of money to pay the bills.
3. Keep checking the bills
Check your statement every month through the app or email – when to pay, how much to pay, whether you have invested interest and how much.
4. Pay the bill of the high interest card first
Pay the bill of the credit card whose interest is high first, after that pay the less important one. Pay the higher ones first.
5. Use the finance app
Set reminders using apps like Walnut or Moneyview and track your spending. This will let you know where your money is being used and whether the thing being used is useful or useless. This will help you track your spending.
6. Read the bank’s terms
Sometimes the bank silently increases the charges, so always read all the terms and conditions of the bank carefully.
Let us understand with an example
You did shopping worth ₹10,000
Did not pay till due date
Late fee: ₹500
Interest: ₹1000
Total: ₹11,500 had to be paid
Loss of ₹1500 just
because of being late!
My opinion
Use credit card properly and before using it, take all the information and always pay the bill before due date.
If you pay the bill on time then:
Your credit score remains strong. There is no loss of money. You will not have any problem in taking loan in future. There are many more benefits of making payment on time and before the due date.
Conclusion
If you want your credit score to remain strong, you should never face any problem in taking loan in future, and you should be free from financial stress every month, then just make one simple habit:
Pay credit card bill payment before due date
This small habit can give you long-term savings, better offers, and financial control in life. Which can benefit you a lot.
Most Important Topic Post in India 2025
