How to read your credit card statement

Credit card statement formats vary, but take a look at this sample. Drag the magnifying glass over each section to learn how to read it.

An interactive magnifying glass
As you use the red dot to drag the magnifying glass over the credit card statement, the elements are explained here. Drag the magnifying glass up/down to see more
A. Here is your credit card account number. Remember to keep it a secret, or others can use your account. B. This is the closing date of the statement. It’s the date the credit card company created this statement. C. This is the amount of your credit line, in other words your spending limit. D. This is your available credit. That means the amount of your credit that you haven’t borrowed yet, so it’s still available to you. E. In the Transactions section, you’ll see a list of each charge and payment you made in date order. F. Your transactions are summarized here, in the Account Summary section. You’ll also see totals for fees and interest charged for this month. G. Here’s the Payment Information. This shows the total amount you now owe, called your New Balance. H. This is the Minimum Payment. Each month, you must pay at least this portion of what you owe. You may pay more than the minimum, up to the total amount, if you can. If you want to have good credit, and reduce the amount of interest you’ll pay, it’s a good idea to pay more than the minimum payment each month. • Your statement shows how long it will take to pay off your balance if you make only the minimum payment due each month. • Contact information for credit counseling services is provided. I. Here’s the Due Date of the statement. Unless your credit card company receives your payment by this date, they will begin charging you interest on the amount you owe. Most companies will also charge you a late fee. They may also increase your interest rate. • Your statement will also include a Late Payment Warning, explaining what may happen if you don’t pay on time. J. In this section, Rate Information, you’ll see how the interest and fees are being calculated year-to-date. K. Here’s the Payment Coupon. It repeats your current payment information. Include this coupon with your check if you pay by mail, and be sure to write in your new address if you’ve moved. Card holder's name and address.
Remember: With a savings account you earn interest; when you borrow you pay interest. The interest rate a lender charges you depends on how good they believe your credit is - your creditworthiness.
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