Statement Balance vs. Current Balance

The plain answer

The statement balance is what you owed when your last billing period ended. The current balance is what you owe now, including purchases and payments posted since that statement closed.

How it actually works

Your issuer creates a statement once each billing period and assigns it a due date. New activity changes the current balance but does not change the statement balance. Paying the statement balance in full by the due date usually preserves the grace period on new purchases.

What this means for you

Use the statement balance when deciding how much to pay by the due date. You can pay the current balance instead, but the extra amount is generally not required to avoid purchase interest when a grace period applies.

Common mistakes

Thinking the current balance is always due immediately. Paying only part of the statement balance because the minimum is smaller. Forgetting that pending purchases may not appear in either posted balance yet.

Related pages

• How Credit Cards Work
• Minimum Payments Explained