Not making a payment can appear to be a mistake that leads to bigger problems. Suddenly, you are faced with fines, extra charges, and a lower credit score. Fortunately, there are methods to avoid this happening. By making some modifications to how you manage your spending, you can successfully keep track of your financial situation and avoid any upcoming payment delays. Let us give you a few little tips to avoid this and answer the question How to never miss a credit card payment?
How to never miss a credit card payment?
When it comes to keeping track of your credit card bills, the most important point is automatic payment instructions. It takes away the stress of remembering the due date and guarantees that your card issuer gets paid. But while this solution may seem perfect, there are a few things to keep in mind. Let’s take a look at how you can make sure your payments are always made on time.
How to make payments on time, every time
For guaranteed on-time payments, it’s recommended to set up automatic payments with your credit card provider. Having one or multiple credit cards ensures that your payments will be automatically charged on the set date. Numerous credit card companies offer this service to collect payments on time, just as much as you aim to evade fees.
Paying your debt in full is crucial when utilizing direct debits. This can prevent you from incurring interest fees while still taking advantage of the grace period provided by your credit card. In case you cannot pay the total sum, you have the option to adjust the direct debit to cover either the minimum due or a specific amount. Keep in mind that not paying the total owed amount may result in accruing interest once a specific date has passed. Setting up automatic payments is easy. Most card issuers let you do it directly from their website or mobile app.
Is automatic payment really foolproof?
While automatic payments can help reduce the chances of missing a payment, they also have disadvantages. First and foremost, it is crucial to verify that there is enough money in your bank account to cover the payments. If there are not enough funds, the payment will fail, and you could face late fees, interest charges, and possible overdraft fees from your bank.
Another risk associated with automatic payments is the possibility of not noticing your monthly credit card bills. Establishing automated payments may decrease how often you feel the urge to track your expenses. This could lead to missing opportunities to spot mistakes or unauthorized spending. During the era of paper receipts, it was necessary to review spending. With everything now being digital, it’s essential to actively log in and check your transaction history.
What to do if you miss a payment
If you miss a payment, don’t panic. Start by calling your card issuer and explaining what happened. Many companies will waive late fees and interest for the first mistake, especially if you have a good payment history. While this won’t erase the missed payment, it could save you some additional costs.
Set reminders for added peace of mind
Although automatic payment handles the majority of tasks, it can be beneficial to schedule alerts on your phone or calendar app a couple of days before your payment deadline. In that manner, you can verify your balance and ensure that you have sufficient funds in your account to cover the payment. Some individuals choose to manually settle their balances ahead of time, and receiving a reminder ensures they stay on course.
Consolidate your bills
Handling numerous payment schedules across multiple cards or bills can feel like a lot to manage. Consolidating your bills whenever you can is a way to prevent missing a payment. For instance, several credit card companies permit you to modify your deadline. Attempt to align your credit card payment dates to occur on the same day each month to minimize the number of dates you have to track. This diminishes the anxiety of having to monitor various due dates.
Many credit card companies provide the option to personalize notifications for various activities on your account. Alerts can be received for impending payments, low account balances, or significant transactions. These notifications can act as a helpful safety net, prompting you to review your account in case of any unexpected activity. It’s a convenient method to stay updated without the need to log in manually daily.
By combining these suggestions with automated payments, you can further reduce the chances of missing payments and maintain a well-organized and stress-free financial situation.
Featured image credit: Igor Omilaev/Unsplash
