Every child grows up dreaming about what they will be in life, some desire to be teachers others doctors and some firefighters. You could get in your car and drive five miles to the nearest bank branch and wait in line to deposit the $5 birthday check from Aunt Tillie (that’s $2.50 in expense, calculated at 50 cents a mile) or you could slap the check on your dining table, call up a mobile app and, inside a minute, sned the image of the check to your bank or credit union.
Rachel Teodoro, a 36-year-old mom and blogger from Seattle, Washington, was able to get some discounts by paying the $6,500 charge upfront and in cash, which she was able to do because her family had socked away money in their Health Savings Account.
You see, making payments early in the billing cycle and charges later in the billing cycle results in a lower finance charge when your credit card uses the daily balance method to calculate finance charges Making charges early in the billing cycle and the payment later in the billing cycle results in the highest finance charge.
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