Credit card holders are consistently advised to review their credit card statements immediately when they receive it. This is very important but unfortunately, many credit card statements remain unopened.
Credit Card Statement or Billing Statement
Credit Card Statements, also known as Billing Statements, is a document issued monthly showing all transaction done using the credit card. These include what was bought and charged to the credit card, the payments made, and other debits and credits made to a credit card account covered or included in the billing cycle.
The Billing Statement is sent to the borrower at the end of each billing cycle. It contains the total balance, the minimum payment due, the due date, the grace period, the finance charge, the days in the billing cycle, and the annual percentage rate or APR.
Reasons Why These Billing Statements Remain Unopened and Unread
It may be an odd thing, but it is true. Maybe you can relate to this fact: Normally, when the credit card statement comes, it is just placed somewhere, to be reviewed later. Oftentimes, they are placed at the bottom of the stack of mails. If lucky enough, it may find its way to the top of the desk, in a file, but not on the “urgent” nor the “important”; just on top of the files.
The reason is probably because it is a reminder of something that is owed, and that payment is already due! Not very many people appreciate being reminded about an account that is due for payment, especially those who don’t have the means to pay them off.
Why It Is Important To Review Credit Card Statements or Billing Statements
The Credit Card Statement, more than serving as a reminder that payment is due, contains lots of information that can help people manage their finances, especially their debts.
Here’s why it is crucial to review the billing statement: by reviewing the statement, the borrower will be able to verify if all the charges made by the lender are correct. He will also notice erroneous entries, or items that may be the result of identity theft or fraud. Sometimes, interest rates change, and this greatly affects the total amount of debt. There are also times when payment dates change. Hence, for a borrower to know these changes, he has to be vigilant in reviewing and checking his credit card billing statements.
Other Important Information Credit Card Holders Should Know about Credit Card Statements
Borrowers who use their credit cards on their businesses or borrowers who claim tax deductions for their purchases must keep their Credit Card Statements for seven (7) to ten (10) years. This is vital because during the audit, you will need these documents to prove every deduction that you are claiming.
Credit Card Statements or Billing Statements are very important, so never ignore them. They are very helpful documents that can help you manage your debts. Ignoring them, tossing them away, and not reviewing entries can turn out to be very costly mistake for you in the end.
Siena Lombardi writes for AccessRx.com, a safe U.S. medication facilitator with two new products – Cialis for Daily Use and Staxyn. In the confines of your own home or office, you can always order at AccessRx.com anytime.