What happens if I pay less than the minimum credit card amount?
Plan your card payments according to your needs. If you have unexpected expenses this month, you can defer your monthly payment so that you can organize your payments in a flexible way.
Deferring your credit card bill1 is a feature that allows you to finance part of the amount corresponding to the monthly payment of your card for one month. In this way, you will be able to make your payments in a more flexible way, adapted to your needs.
1. The deferred amount will accrue interest in favor of the Bank, at the nominal annual interest rate applicable in accordance with the provisions of the contract in relation to the deferred payment methods.2. You may not defer the entire bill, the amount to be paid may not be less than 3% of the balance drawn (minimum 25€), except for the following cards: Mi Otra 123, Mi Otra Día a Día, Laliga Santander, Santander Plus, Santander Light, Tarjeta Light and Light Clásica in which the amount to be paid may not be less than 5% of the balance drawn (minimum 50€).3. Remember to use your credit card responsibly. The abusive use of financing implies a risk of over-indebtedness with long-term consequences that may affect your financial planning.
How long does it take to pay off a credit card?
Regardless of the type or mode of credit card, if you don’t pay on time you will have to pay more interest. In the case of credit cards with deferred payment at the end of the month, the very fact of being late is what will cause you to have to pay the interest for late payments included in the contract.
With a card in revolving mode you already pay interest every month, but if you miss a payment, in addition to the ordinary interest you will have to pay late payment interest and possible claim costs.
“Everything is negotiable with the bank, starting with the commissions,” explains Luís Pita. If the non-payment of the card is something punctual, talk to the bank so that they eliminate the commissions for non-payment and delay.
Revolving cards have been in the eye of the storm since the Supreme Court ruled that their interest rates are abusive and declared a WiZink contract null and void. This ruling has led to a flood of complaints from users.
If, in addition to the card, you have other debts, “you can consider reunifying them,” explains Luis Pita. The reunification of debts means joining all the debts in a single loan that normally allows you to reduce the installment so that you can pay it every month.
What happens if I pay my credit card after the due date?
If you do not know your cut-off and payment dates, it is easier for you to forget to make your payment and start generating interest, that is why these two dates should be well engraved in your mind or in your agenda, or in any place that is within your sight.
If in your case you have a card that cuts off on the 5th, it means that you have until the 25th of the following month to pay it without generating interest. If you buy something on the 6th of the month, you will have until the 24th of the following month to pay without being charged anything at all.
If you miss your payment date by one day, you will be charged late fees. If you do not pay your balance in full, you will be charged interest on the total amount of the debt, not the amount you have left. Use the card for the amount you know you can afford to pay so you don’t start accruing interest.
What happens if I pay one day after the deadline?
Despite their wide acceptance, for many consumers their use ends up becoming a headache. Their advantages are clear: they make it possible to dispense with cash and pay for purchases in installments, i.e. they are a means of instant financing. But getting into debt (every time you use a credit card you assume a debt) has its risks if not done responsibly.
Paying the supermarket purchase on creditFractionating the payment of the supermarket purchase, paying the gas bill in installments or making a credit transfer from the credit card to the current account to pay the mortgage bill is a mistake.
The experts recommend not to finance the recurrent expenses of the day to day and not to abuse the credit of the cards, since its cost is high (the average interest that they charge is 17.91%) and because if one resorts to them to finance the expenses of the day to day, the possibilities of ending up over-indebted are many, explain sources of HelpMyCash.
If, for example, a customer uses the credit card to pay the monthly mortgage payment, the following month he will not only have to pay a new loan installment, but he will also have to return part of the balance on the card with the corresponding interest. An unsustainable situation in the long term.