Is it better to pay off a credit card or make payments on the balance?

+1 vote
asked Jan 25, 2018 in Credit by Muktuk (320 points)
Is it better to pay off a credit card or make payments on the balance?

1 Answer

0 votes
answered Jan 25, 2018 by Adf289 (58,200 points)
If you can afford to pay off the full balance then that is what is best to do.

Use the credit card for purchases and then send in the full amount. Sending in the full payment for the balance you owe will help improve your credit faster.

But it's okay to just make payments as well but if you can pay more than the minimum payment to help improve your credit score faster and you'll end up paying less in interest.

Mostly the minimum payment will just cover the interest charged and doesn't get the credit card balance paid down.

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