How you can pay your credit card bill
You can pay your credit card bill through your card issuer's website or mobile app, by phone, by mail, or in person at a branch if your issuer has physical locations. Most issuers also allow automatic payments set up through your bank account. Some cards accept payments through third-party services like PayPal or Venmo, though these typically charge a fee. The fastest way is usually the issuer's own website or app — payments often post within one business day.
The method you choose affects when the payment reaches your account and whether fees explore. Direct payments through your issuer's website are free and fastest. Payments by mail take 5 to 7 business days and require you to account for mail time when calculating when to send. Phone payments are free but require you to speak with a representative. Third-party payment apps may charge a convenience fee (usually 1 to 3 percent of the payment) unless you choose a slower bank transfer option within the app.
Key Takeaways
- Paying through your issuer's website or app is free, fast, and usually posts within one business day.
- Automatic payments from your bank account can be set up to pay a fixed amount or your full balance on a date you choose each month.
- Payments by mail take 5 to 7 business days, so you must send them earlier than online payments to avoid late fees.
- Third-party payment apps charge fees unless you select a slower bank transfer option, making them more expensive than paying directly.
- Your payment must arrive by the due date shown on your statement to avoid a late fee and interest charges on the remaining balance.
Setting up automatic payments so you don't miss the due date
Automatic payments remove the risk of forgetting to pay. Log into your issuer's website or app, find the "Automatic Payments" or "Recurring Payments" section, and choose the account you want to pay from (usually a checking account). You then select the payment amount — either a fixed dollar amount each month or your full statement balance — and the date the payment should go out each month.
Most issuers let you choose a date between the 1st and the 28th of the month. If you choose to pay your full balance automatically, the payment will cover whatever you owe on that date, which means you pay no interest. If you set a fixed amount, any remaining balance will accrue interest at your card's annual percentage rate (APR). You can change or cancel automatic payments at any time through the same section of your account.
What the due date means and why it matters
Your due date is the last day your payment must arrive at your issuer to avoid a late fee. This date appears on your monthly statement and is usually 21 to 25 days after your statement closing date. The due date is not the same as the statement closing date — the closing date is when your billing period ends and your statement is generated, while the due date is when payment is expected.
If your payment arrives after the due date, your issuer will charge a late fee (typically $25 to $40 for a first offense, higher for repeat lates) and may increase your APR to a penalty rate, sometimes 29 percent or higher. Late payments also report to credit bureaus and damage your credit score. Payments made by mail are considered on time if they are postmarked by the due date, though the issuer may not receive them for several more days.
Paying more than the minimum and how it affects interest
Your statement shows a minimum payment — usually 1 to 3 percent of your balance — and a full balance due. Paying only the minimum keeps your account current and avoids a late fee, but you will pay interest on the remaining balance. The interest accrues daily based on your APR and the unpaid balance, compounding each month.
Paying more than the minimum reduces the balance faster and saves you money on interest. Paying the full balance eliminates interest charges entirely for that month. For example, a $5,000 balance at 20 percent APR costs roughly $83 per month in interest if you pay only the minimum; paying the full balance costs zero. If you cannot pay the full balance, paying as much as you can above the minimum reduces how much interest you owe.
Paying off your balance in full versus carrying a balance
Paying your full balance each month means you owe no interest and build credit without the cost of borrowing. This works best if you can afford to pay what you spent. Carrying a balance means you pay interest on the unpaid amount, but you only need to pay the minimum to stay current.
Carrying a balance is sometimes necessary if you face a temporary cash shortage, but it becomes expensive quickly. A $3,000 balance at 18 percent APR costs about $45 per month in interest alone. Over a year, that is $540 in interest on top of the principal. The longer you carry the balance, the more interest you pay. If you are carrying a balance, paying above the minimum reduces the total interest you owe and gets you out of debt faster.
What happens if you miss a payment or pay late
A payment is late if it arrives after your due date. Your issuer will charge a late fee (typically $25 to $40 for the first late payment, up to $40 for subsequent ones within six months). The late fee is added to your balance and accrues interest like any other charge. Your APR may also jump to a penalty rate, sometimes 29 percent or higher, which applies to your entire balance going forward.
Late payments report to the three major credit bureaus (Equifax, Experian, and TransUnion) and stay on your credit report for seven years. A single late payment can drop your credit score by 100 points or more, depending on your score before the late payment. If you miss a payment by 30 days or more, the issuer may close your account and refer it to a collection agency. If you realize you will miss a due date, contact your issuer when ready — some will waive a late fee if you call before the due date passes.
Paying off a large balance or catching up on missed payments
If you have fallen behind on payments or have a large balance, contact your issuer's customer service to discuss your options. Many issuers offer hardship programs that temporarily lower your APR, waive late fees, or create a payment plan if you explain your situation. These programs are not automatic — you must ask for them and usually must show that a specific hardship (job loss, illness, divorce) caused the problem.
If you have the cash to pay a large balance in one payment, doing so stops interest from accruing further and closes the account faster. If you cannot pay in one lump sum, paying as much as you can above the minimum reduces the total interest you will owe. Some people use a balance transfer card (a card offering 0 percent APR for a set period) to move the balance and buy time to pay it down without interest, though balance transfer fees typically run 3 to 5 percent of the amount transferred.
Frequently Asked Questions
Can I pay my credit card with another credit card?
Most issuers do not allow credit card to credit card payments directly. Some third-party payment services will accept a credit card as payment, but they charge a fee (usually 2 to 3 percent) and treat it as a cash advance, which means you pay interest when ready and may face an additional cash advance fee. Paying with your debit card or bank account is cheaper.
What if I pay my bill early?
Paying early is always allowed and costs nothing. Your payment will be credited to your account when ready, reducing your balance and the interest that accrues. If you pay before your statement closing date, the payment may reduce the balance reported to credit bureaus, which can improve your credit score.
Does paying online cost extra?
Paying through your issuer's website or app is free. Some issuers charge a fee if you pay by phone with a representative, though many waive it. Third-party payment apps charge fees unless you choose a slower bank transfer option. Always check whether a fee applies before you confirm the payment.
What if my payment is rejected?
Payments are usually rejected because the bank account you are paying from has insufficient funds, the account number is wrong, or the account has been closed. If a payment is rejected, your issuer will notify you and the payment will not post. You must submit a new payment when ready to avoid a late fee. Contact your bank to confirm your account is active and has sufficient funds before trying again.
Can I get a late fee waived?
Many issuers will waive a single late fee if you call customer service and ask, especially if it is your first late payment or if you have a long history of on-time payments. There is no harm in asking. If the late fee is waived, it will not be added to your balance and will not report to credit bureaus.