Changing Your Payment Due Date

One of the pitfalls of having a credit card becomes quite clear when you find yourself unable to keep up with the repayment each month and you start failing to make your payment on time. We all have bills that are due by month's end. For some, this time is good because the bills come around the same time as when salaries hit the bank. But, there are many people whose paychecks do not fall at a time that is convenient for paying untimely bills, particularly those with credit card due dates that come prior to arrival of their paychecks. Changing your credit card due date just might be the answer for you.

Difficult Paycheck Timeframes

An employee that is paid monthly may have some difficulty getting his or her bills paid on time, particularly if all of the bills are due at the end of the month and their paycheck doesn't hit the checking account until the middle of the month. What about employees that are paid either biweekly or even weekly? They too have their share of problems, especially if the credit card billing cycle is either at the first of the month or the end of the month when many other bills are also due. Saving money to repay the credit card as a weekly or biweekly paid employee is often easier said than done.

Conflicting Bill Payments

You may discover that your credit card bill is due at the same time as other bills, such as your mortgage or rent, electricity, gas, phone bill, car payment, and other miscellaneous bills. Many times, this will result in the credit card payment taking a backseat to other bills that are viewed as more important. And, if payment is made after the due date, you run the risk of paying extra on interest and late fees - thus beginning a vicious cycle.

Solving the Dilemma

What does one do in situations like this? By being honest with the bank that issued you the credit card, you may be well on your way to working out your repayment dilemma. You will find that some banks are actually understanding when asked for a change in your payment due date to coincide with your paycheck. Banks would rather bend backwards to help someone who is actually trying to make their payments in a timely manner than someone who is negligent. In fact, most are appreciative of your financial concern and will be more than happy to make a change to your due date.

When making a change to your credit card due date, it is usually beneficial to inform the bank about your payday. This way, they can make arrangements to deduct the amount you owe from your checking account and you don't even have to worry about sending the payment out on time.

Once the approval is made for the due date to be changed, document the new date for later use. Make sure, however, to continue paying on the old due date until the change takes effect. This will prevent you from incurring late fees or extra interest while the due date change is still pending.

Dealing with Difficult Banks

For some banks, choosing your own due date on payments is a feature that banks utilize on their loan products in order to get and to keep customers. But, there are some banks that are not so flexible. If a bank representative tells you that it is not possible to change your payment due date, then ask them about their grace period payback policy. Many credit card companies that have a strict policy on changing your payment due date will allow a longer grace period before your payment is considered to be overdue. Some will even give you as long as a month. A month should be more than enough time for you to get your bills and payments organized.

Some banks have also been known to change the payment due date on customers without fair warning. Be sure to read all the terms and conditions of the credit card application form before mailing it in if the due date is going to be a concern for you. And, if information about the payment due date is not on the application, ask questions before you sign the card agreement.

Get Yourself Organized

If all else fails, there are many things you can do to help get yourself organized so you actually pay your bills back on time. For bi-weekly paid employees, you should use your first paycheck to go toward rent, your car payment, and your utilities. The next check should go toward paying your credit card. For monthly paid employees, you may choose to overpay your credit card each month (after paying your other monthly bills, of course!). This can prove to be helpful for you in the long run by getting yourself out of debt much sooner.