Top Tips for Avoiding Late Credit Card Payments

Nothing harms your credit score quite like a late payment. If you get into the habit of paying your bills past the due date, you can expect it to take a toll on your score.

Fortunately, there are many things you can do to avoid late credit card payments. It all comes down to finding a system that works for you, your budget, and your financial style.

Here are a few top tips to put you on the right track:

• Pay immediately. Why wait until the last minute to make a payment? The second you receive your statement is the second you should decide what to do next. If you have the funds available, pay immediately. This will ensure that you never make a late payment.
• Pay electronically. With an electronic payment, you can be rest assured that your credit card company will receive funds within one business day (most of the time, at least). This is much faster than mailing a check and waiting several days for it to post to your account.
• Set up automatic payments. This doesn’t work for everyone, but it’s an idea to consider. As long as you know you’ll have enough money in your account to cover your balance, this is a great strategy. With this, you don’t have to worry about setting up the payment yourself. You can let your credit card company take the money out of your account on the same day every month.

Making a late credit card payment is a big deal for many reasons, including the fact that it can damage your credit score and cost you a few dollars.

By using one or more of the tips above, you should be able to avoid late payments in the future.

Do you use any of these tips to your advantage? Are there any others you would add to the list?