Statement Balance vs. Current Balance: How Are They Different?

When you have a credit card, you’ll typically see 2 different types of balances listed on your account: Your statement balance and your current balance. These balances can be different, which can be confusing, especially if you’re new to credit cards.

Simply put, your statement balance is your balance at the end of your billing cycle. Meanwhile, your current balance is the balance on your credit card at the present moment. It includes any posted charges, payments, credits, interest or fees since your last statement.

Let’s explore what statement balances and current balances are, how they work, where to find them and what type of credit card balance you should pay.

What is a statement balance?

Your statement balance is the amount you owe on your credit card at the end of a billing cycle. Your statement balance includes any balance you’ve carried over from previous billing cycles, plus any fees and interest, minus any payments and credits.

If you can pay your statement balance by your payment due date, you may be able to avoid paying interest and fees on those charges. This is because credit card companies typically offer a grace period, which is the period of time between the closing date of each billing cycle and the payment due date. Grace periods usually span about 30 days.

Keep in mind, however, that if you don’t pay the entire statement balance by the due date, you can lose your grace period. That means you could be charged interest on the portion of the balance you did not pay as well as on future purchases.

Statement balance example

Let’s say you make several purchases during your current billing cycle, totaling $300, plus you receive a $50 refund. Your statement balance would be $250. If you make additional charges after your billing cycle ends, that statement balance would remain the same until your next billing cycle.

What is a current balance?

Your current balance is your credit card balance at the present moment. It can fluctuate based on:

• Purchases
• Fees
• Interest
• Payments
• Account credits

Your current balance is a real-time indication of how much you owe on your credit card account. If your most recent statement balance is positive, but your current balance is actually $0, you don’t owe anything on that account at that time.

Current balance example

Let’s say your statement balance from your last billing cycle is $500. You’ve made purchases during this cycle totaling $150, and a $50 return is posted to your account. When you log in to check your current balance, you haven’t made any payments toward the statement balance. However, your payment due date has not passed, so your issuer isn’t charging any interest on that balance yet. That means your current balance is $600.

Where can you find your statement balance and current balance?

Your statement balance and current balance can both generally be found in your online credit card account. Your online account will often contain the most up-to-date information. Your statement balance will also be listed, often several times, within your monthly credit card statements.

Which balance do I pay?

When you pay your bill online, you’ll typically have the option to pay the statement balance, current balance, minimum payment or choose a different amount:

• Statement balance: Paying off your statement balance in full by the due date each month can allow you to avoid interest charges if your issuer offers a grace period.
• Current balance: If you’ve carried a balance over from previous months, you can generally avoid further interest charges once you pay your current balance. However, you should check the terms of your credit card account to determine if any new purchases made after this payment would immediately be charged interest, or if a grace period would apply.
• Minimum payment: This is the minimum amount you must pay by the payment due date to avoid late fees. If you miss your minimum payment by 30 or more days, it can also be reported to the credit bureaus, which can negatively impact your credit score.
• Other amount: You can also manually enter a different payment amount in addition to your minimum payment amount. This can be a useful option if you want to pay more than the statement balance, but less than your current balance.

Your budget and financial goals will help shape how much you choose to pay toward your credit card balance. Now that you understand the different types of balances, you can approach your payments more confidently, whether you’re working on getting out of debt or just starting on your credit card journey.

Disclosure: This article is for educational purposes. It is not intended to provide legal, investment, or financial advice and is not a substitute for professional advice. It does not indicate the availability of any Citi product or service. For advice about your specific circumstances, you should consult a qualified professional.