Hey John – Is it better to pay off a credit card immediately after using it or to wait for the billing statement. Is there a difference?

Answer – Nice question. If you pay the balance before the statement is generated then that debt never makes it to the statement. And, more importantly, it never makes it to your credit reports. If it never makes it to your credit reports then it can’t influence your credit scores. The downside, obviously, is you don’t get the full benefit of the grace period. If you were going to pay it in full by the due date anyway then I say adjust your payment habits to pay in full before the statement close date. If you don’t know the statement close date then call your credit card issuer or look at your online summary of activity.