Managing your AU Bank credit card efficiently requires not only keeping track of your expenses but also ensuring that your billing cycle aligns with your financial planning. If you wish to change the billing cycle of your AU Bank credit card, this guide provides step-by-step instructions, tips, and the benefits of making this adjustment to better suit your needs.
What is a Billing Cycle?
A billing cycle is the period between two consecutive credit card billings. For AU Bank, like most other banks, the billing cycle typically lasts 30 days, but it can vary. During this cycle, all your transactions, including purchases, cash withdrawals, and payments, are recorded. At the end of the cycle, your bank generates a statement showing the total outstanding balance, the minimum payment due, and the due date.
Why Change Your AU Bank Credit Card Billing Cycle?
Changing your billing cycle may seem like a minor adjustment, but it can significantly improve your financial management. Here are some key reasons why cardholders choose to alter their billing cycle:
- Aligning with Your Paycheck Schedule: If you receive your salary on a specific date, you might want to adjust your billing cycle to match your income flow. This ensures you have enough funds to pay off your credit card bill on time.
- Maximizing Interest-Free Periods: By adjusting your cycle, you can extend the interest-free period on your credit card, giving you more time to repay your dues without accumulating high-interest charges.
- Better Control Over Finances: If your current billing cycle doesn’t align with your other financial obligations, changing it can help you better manage your cash flow and avoid late payments.
How to Change the Billing Cycle of Your AU Bank Credit Card?
Changing the billing cycle for your AU Bank credit card is a straightforward process, but it requires careful attention to the steps. While AU Bank offers flexibility, it’s important to note that this process may take a few days to reflect in your account. Here’s how you can do it:
1. Contact AU Bank Customer Care
The first step in changing your billing cycle is to reach out to AU Bank’s customer service. You can do this through:
- Phone: Dial the AU Bank customer care number to speak with a representative. They will guide you through the process.
- Email: Alternatively, you can email customer support at the official AU Bank email address to request the change. Be sure to mention your credit card details and your preferred billing cycle.
- Online Banking Portal: Log into your AU Bank online banking account. Look for the ‘Credit Card Services’ section and find the option to request a billing cycle change.
- Mobile App: If you use the AU Bank mobile app, you can directly submit a request to change your billing cycle via the app’s support or request feature.
2. Provide Necessary Details
To process your request, AU Bank will require specific information to verify your identity and preferences. Make sure to have the following details ready:
- Your Credit Card Number: This is needed to identify your account.
- Preferred Billing Cycle: Specify the date that works best for you. For instance, you may want your billing cycle to start from the 1st of the month or any other date that suits your financial needs.
- Personal Details: Be prepared to verify your personal information, such as your registered phone number, email, and address, to authenticate your request.
3. Wait for Confirmation
Once your request is submitted, AU Bank will process it. This can take a few days, depending on their internal processing times. You will receive a confirmation via SMS, email, or in your online banking account once your billing cycle change request is approved. It is important to note that changes to your billing cycle may take effect in the next billing cycle or the one after.
4. Monitor Your Statements
After the billing cycle is successfully changed, keep a close eye on your credit card statements to ensure that the new cycle has been implemented. The new statement should reflect the updated billing period. If you notice any discrepancies, contact AU Bank immediately for assistance.
Important Considerations When Changing Your AU Bank Credit Card Billing Cycle
Before making the decision to alter your billing cycle, consider the following factors to avoid any inconveniences:
- Minimum Payment Due: Changing your billing cycle can affect the due date of your payments. Ensure that you can make the necessary payments on time after the change.
- Impact on Interest Rates: The billing cycle you choose can influence how interest is applied to your outstanding balance. Understanding the relationship between your billing date and the payment due date is essential in avoiding interest charges.
- No Impact on Credit Score: Changing your billing cycle will not affect your credit score as long as you make timely payments and manage your credit responsibly.
- Possible Fees: Some banks may impose a small fee for processing changes to the billing cycle. Be sure to inquire with AU Bank about any potential charges before proceeding.
Benefits of Changing the Billing Cycle of Your AU Bank Credit Card
Adjusting your billing cycle can have several benefits that improve your overall credit card experience. Here are the top reasons why this can be a beneficial move:
1. Improved Cash Flow Management
By aligning your billing cycle with your income or other expenses, you gain better control over your finances. For example, if you receive your salary in the middle of the month, you can request a billing cycle change so that your due date falls after your salary is credited. This reduces the chances of missing a payment due to insufficient funds.
2. Enhanced Financial Planning
A consistent billing cycle allows you to plan ahead. With all your bills due at the same time, it becomes easier to manage your monthly budget. Whether you’re paying bills, saving, or investing, synchronizing your billing cycle with other financial commitments allows you to plan your cash flow more effectively.
3. Extended Grace Period
Changing your billing cycle to a date that works better for your financial situation can potentially extend the interest-free period. With more time to pay off your dues, you can avoid paying interest on your credit card balance, saving money in the long run.
4. Better Control Over Late Fees
Late payment fees can add up quickly if you forget a due date. Changing your billing cycle ensures that the due date aligns with your payment schedule, minimizing the risk of missing a payment and incurring penalties.