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Credit Card Rules: Recently RBI has made a major change in the rules of credit card billing cycle. By following this rule, you can easily change the billing or statement date of your credit card as per your convenience. Today in this article we will know in detail about this new rule of billing and what effect it will have on the customers.
What is the credit card billing cycle?
Every credit card company gives a period to the customers. During this period the company adds up all the expenses made on the card on a certain date and gives it to the customer in the form of a bill. Customers have to pay this bill on the due date after a few days (usually 10 to 15 days) after the bill is generated. This is called the credit card billing cycle.
What will be the impact of the new rule on customers?
Till now only the credit card companies used to decide what will be the billing cycle of the credit card issued to the customer. But after the rules are issued by RBI, customers can change the billing cycle of their credit card at least once as per their wish.
Benefit
- You can decide the date of credit card statement as per your convenience and cash flow.
- You can maximize the interest free period in credit cards.
- You can pay for different credit cards on the same date.
How do I change the billing cycle?
To change your credit card billing cycle, you must first pay off all your past due balances. After this you will have to ask your credit card company through phone or email to change the date of credit card billing cycle. In some banks you can also do this work through mobile app.