I have question about credit card minimum payment.
I have say a credit card of say a credit limit $1000 and a balance $500. The minimum payment is $25. Suppose I buy something worth say $50 and return it back immediately, then the store is first going to charge $50 to my card and then when I return the item credit back those $50 to my credit card.
So I was wondering does this $50 Credit Back from the store count towards my minimum balance payment?
In short, does any Credits that are posted to your card count towards your minimum balance payment?
2006-09-19 13:28:14 · 12 answers · asked by pondimaster367 3 in Business & Finance ➔ Personal Finance
Guys... I am not asking this question because I have huge balance or something... Its just one of those random thoughts that gou through your mind when you get bored at work.
I always pay my balance in full and the only financial charges that I have paid till now are the once which I incur for usng my card outside the US.
2006-09-19 15:41:13 · update #1
No I can tell you for sure, they do not count that.
They only count money that you have sent to them.
2006-09-19 13:36:14 · answer #1 · answered by mia2kl2002 7 · 0⤊ 1⤋
The chargeback would in fact count as a payment if you incurred no new charges since the statement date.
Think about it. Let's say you had a $0 balance. Then you bought $500 worth of stuff. You get your statement. Then you return all $500 worth of stuff. You owe nothing.
This wouldn't work on unbilled activity - if you charged stuff AFTER you got your statement, and then returned it. The credit would apply towards the post-statement charge, and would not reduce your statement balance.
2006-09-19 23:39:51 · answer #2 · answered by banana_fan 2 · 0⤊ 0⤋
If you return it immediately, ytou credit card will show a balance of $500, so you still pay the minimum payment of $25.
2006-09-20 05:12:18 · answer #3 · answered by Steve R 6 · 1⤊ 1⤋
You must make a minimum payment. Charge backs are not payments (they do affect your daily balance though).
I suggest always paying more than the minimum balance (this lessens the amount of interest you pay).
Keep your balance as low as you can.
2006-09-19 13:40:18 · answer #4 · answered by JFC I No 3 · 0⤊ 1⤋
Check with the company that issued the credit card. My bet is that it won't, because if it did, you could pull this stunt every month, and not have to put any money out of pocket towards the card.
2006-09-19 13:33:43 · answer #5 · answered by Ralfcoder 7 · 1⤊ 0⤋
In one word: yes.
If you return it immediately, you'll have the transaction reversed and you would have $0 on your card.
If you don't and it gets on the next billing cycle, you'll have a credit of $50.
2006-09-19 13:36:25 · answer #6 · answered by FaZizzle 7 · 0⤊ 0⤋
As a finance manager, I can tell you are headed for trouble if you are asking this kind of question.
Cut your spending - you are obviously spending more than you earn if you are trying to pull off a stunt like this.
Credit cards are dangerous - be careful.
2006-09-19 14:47:39 · answer #7 · answered by ann507 1 · 0⤊ 1⤋
It will more than likely not get credited before your payment is due so you are better off making your payment and not rely on that refund.
2006-09-19 13:36:37 · answer #8 · answered by hopetohelpyou 4 · 0⤊ 0⤋
no, i dont think it would......if you didnt return it by the end of the billing cycle you might have to pay interest on it maybe......that would be cool if you could get away with that! the i wouldnt have to worry about paying off all my credit cards!!!
2006-09-19 13:37:14 · answer #9 · answered by Shana 2 · 0⤊ 0⤋
Nope! Nice try though!
2006-09-19 13:35:38 · answer #10 · answered by tspbrady 3 · 0⤊ 0⤋