Credit Card Statement - Get detailed information on how to get & view your credit card billing statement online & offline. Click to read the benefits of a credit card statement.
The document may appear intimidating, but you just need to read a certain section of it.
The main reason people opt for credit cards is to buy things on credit, so that they can pay it on a specified date every month. On this date, the credit card provider usually sends you a document on either your email address or a physical copy to your home address. This document is called a credit card statement, and it will tell you the amount you are expected to pay every month. You can either pay the entire amount or a minimum amount that the provider gives you. You also have the option to pay an amount that is between the minimum amount and the expected amount. In addition to this, a credit card statement provides you with vital information, including where you swiped your card, thereby giving you physical proof about how you use your credit card.
How do I read a credit card statement?
Your credit card provider will send you a monthly statement that documents all the transactions made on your credit card. While most credit card holders disregard the statement, it is advised to check your statement in case you chance across a transaction that you have not made. If you are a credit card user, here’s how you read your credit card statement:
Pay attention to the details: A credit card statement contains essential details such as the billing cycle. Some billing cycles are at the beginning of the month, while others come in the middle. There are also people who pay off their card at the end of the month, but it is ideal to have your billing cycle between the start and the middle of the month. It becomes difficult at the end of the month for a few due to account balance at the period. The details also include the total amount due, the minimum amount that needs to be paid and the due date of payment. The statement also contains details of every transaction that you have made using your card with the merchant name, date, time, and the amount you spent.
What are the components of a credit card statement?
A credit card statement can be intimidating for an individual looking at it for the first time. Keeping this in mind, the bank usually breaks the statement into various sections and subsections. A typical credit card statement will have the following sections and subsections:
- On the top-left corner, you will see your name, email id, and registered home address.- Below this there is a section called Statement of (Insert credit card name here)
- Payment Due Date
- Total Amount Due
- Minimum Amount Due
- The credit limit of the cardholder
- The cash limit of the cardholder
- The summary of the account
- Opening Balance
- Finance Charges
- Total Dues
- Past Dues (If Any)
- 3 Months+
- 2 Months+
- 1 Month
- Current Dues
- Minimum Amount Due
- Domestic Transactions
- Transaction Description
- Rewards Points Summary
- Opening Balance
- Closing Balance
- Offers on Your Credit Card
- Important Information
While there are several components, and most of them can be intimidating, let us look at the sections that you need to see to understand your statement
Payment due date: If you swipe your card, you will be given the amount in your monthly statement. The statement total is usually the sum of all the credit card transactions, along with the card charges (in case you don’t have a free credit card). This amount will need to be paid within a certain date that is fixed by the credit card issuer.
Minimum due: This is the minimum amount that you have to pay the credit card company. It is usually 5 per cent of the total amount due. While this is a normal way of paying your card, do note that the card company will charge interest on the balance amount, although you don’t have to pay a late fee.
Credit limit: This is the maximum amount of credit that you are allowed to borrow on your card. Cards issue the credit limit based on several factors including your salary, and your credit worthiness.
Current outstanding balance: This amount is the total amount you owe the credit card company. Outstanding balance is calculated beginning with the previous month’s expenditure on the credit card.
Billing cycle: A billing cycle is the time period between the issue of two bills of the same credit card. For instance, if you get your monthly statement on the 15th of every month, the period between the 15th of a month and the 14th of the following month constitutes a billing cycle.
Transaction history: Your credit card statement will record all the transactions, the date of transaction, the merchant name, and the amount transacted on that day and time. In case you notice a transaction that seems unfamiliar, alert your credit card provider immediately.Rewards and rebates: Most credit cards give its users the chance to gather reward points that they can redeem for gifts at a later date. Your credit card statement will give you a dedicated corner to let you know about how you can avail these reward points for an attractive gift. Do note that these gifts are only select products in the bank’s catalogue.
How do you calculate the minimum amount due?
The minimum amount is usually a small percent of the outstanding balance. Most banks calculate the minimum credit card amount as 5 per cent of the total credit card outstanding balance i.e. in case you have made a purchase of Rs 10,000 in a month, then the minimum amount you have to pay is Rs 500.
How do I avail my credit card statement?
You can avail your statement in two ways
Online statement: Banks usually provide you with hard and soft copies of your credit card statement. To get your statement online, you will have to login to your bank’s net banking account and get the statement from the credit card sections. Some banks like State Bank of India, however, have dedicated pages for credit cards where you can get your statement in case you don’t have a bank account with that bank. Once you log in, you can get all the details and can download your e-statement in PDF formatOffline statement: The bank will send a physical copy of the statement to your registered postal address. However, in a bid to go green, banks are advising cardholders to opt for a digital copy of the statement. Cardholders can assess their credit card statement through their registered email account by using a password set by the bank.
Why are credit card statements important?
Your credit card statements let you keep track of your expenditures with the card. It also keeps track of every debit or credit transaction that you make.
Benefits of a credit card statement
- You get an electronic copy of the statement i.e. you don’t have to physically visit the bank to get your card account summary
- You get information about new products and updates and services provided by banks
- You can keep a track of the rewards and cashback offers that they are eligible for.
How do I manage errors in a credit card statement?
In case you spot an error about a transaction you did not make, you must immediately bring it to the attention of the bank. This c an happen in case of a double swipe. In case something like this happens, inform the merchant from where you carried out the transaction. Usually the merchant reverses this and you don’t have to approach the bank about rectifying the error.Another way to ensure errors are removed, always ensure that you have your paperwork in order. This way, you have physical proof that there is an erroneous transaction. Keep all the documentation with you as it can help you prove that the transaction is incorrect.
How frequently will I receive a credit card statement?
Most banks send out monthly statements, but there are some that send out daily, weekly, and yearly ones.
How do I find my credit card statement’s password while trying to access it through my emails?
Usually in the email sent by the bank, you are told what the password is. Some may ask you to enter your date of birth in DD/MM/YYYY format, while others may ask you to enter your 16-digit credit card number. Once you follow the bank-specific instruction and enter your password, you will be able to access your credit card statement online in PDF format.
Do I need to pay to get a hard copy of my credit card statement?
No, credit card statements, whether in hard or soft copy, can be obtained free of cost.
Do email credit card statements have a time period?
No. Credit card statements sent via email can be accessed any time using the right password.