ive just opened a credit card account ,and ive spent some money?

Question

i'm a bit confused about how it works ,what is the difference between the ACCOUN t balance and the available balance,my credit limit is 1500, and i clear it at the end of the month by db can some one please explain it to me in simple terms thanks in advance .

thankyou to everyone who took the time to explain it to me much appreciated .

Answer 1

The account balance is how much you have actually spent with the card in shops and petrol stations etc, and the available balance is how much more they are prepared to lend you as credit to spend in massage parlours and casinos etc

Answer 2

The available balance is how much spending room you have left at any given moment. That is what you get when you subtract Account Balance from Credit Limit. Just a word of advice. - Don't get close to the Credit Limit and remember that you may not see recent purchases in Account Balance as they might not have bee posted. If you exceed the Credit Limit by even one cent you may be charged and extra $30 to $60 penalty. And whatever you do NEVER be late with a payment. Get it there a week before the due date. Another big penalty for being a day late.

If possible don't carry a balance from one month to the next. Pay it in full then there are no interest charges. And don't ever get a cash advance.

You gotta be careful with these thing. Can get in lots of trouble very quickly.

Answer 3

1500 is the account credit limit. Account balance is the amount you have already charged onto the account. If this month, you've purchased $500 worth of stuff, your account balance is $500. If you subtract your account balance from your credit limit, that's the available balance ($1000 in our example). It's the amount you still have available that has not been spent.

When you pay your bill off (in it's entirety hopefully), after it posts to your account, your balance will be 0 and your available balance will be your credit limit ($1500 in our example).

Answer 4

Available balance is the amount you didn't use and account balance is how much you owe. At the end of the month it would be printed at the end on the top row of the statement. They expect you to pay the minumum by a certain date. When you do get it pay more than the minimum because it'll be paid off sooner. They give you a grace period so you have to read the contract about that.

Answer 5

The account balance is the amount you owe. The avaiable is what you are able to spend.

Keep in mind sometimes the available balance does not show a charge that hasnt gone through, its best to keep track of your spendings in order to avoid over the limit fees and/or poor credit reporting.

good luck

Answer 6

Credit is like a loan.

The credit card company tells you that your limit, and therefore the maximum amount you can borrow is £1500.

Like a loan, when you borrow money from your credit card, you have to pay interest. (although you might get away with that for a few months depending on your contract).

To pay back what you owe, generally, the card company will require a £5 sum, or 5% of what you owe. Which ever is the greater amount.

You just have to take the view that the £1500 ISN'T your money.
Its the banks money.
They're just letting you use it.

Answer 7

Account balance is what you owe. Available balance is the amount of credit available to you.

$1500 credit line
- $50.00 account balance
= $1000 available balance

Answer 8

The account balance is how much you have spent. The available balance is how much you can spend without going over the $1500

Answer 9

Account balance is what you owe.

Example, if you spent $500 you account balance is $500. Your available balance is now $1000 because you used $500 of your credit limit. Get it?

Answer 10

Assuming by Account balance you mean New or Current balance, it is the amount you owe on that statement. Available credit is your credit limit minus your new or current balance. (This number is usually rounded up to the nearest dollar).