What is a statement credit?

A statement credit is a type of credit offered by credit card companies to their customers. In California, statement credits are used to reduce a credit cardholder’s balance owed. This could be from extra payments made or from special offers or promotions. Statement credits can be used to purchase items, pay bills, and even to transfer money to a savings account or investment. When a statement credit is issued, the credit card company reduces the balance owed. For example, if a customer has a balance of $500, and the credit card company offers a statement credit of $50, the balance owed will be reduced to $450. The credit cannot be used to buy items. Instead, the credit reduces the amount of money the customer owes and they can use their own funds to buy the items they need. It is important to note that statement credits are only available to certain customers and not all customers may be eligible. In California, it is important to understand the credit card laws to ensure that customers are using their statement credit properly. It is also important to make sure to read any terms and conditions associated with using a statement credit before taking advantage of the offer. Additionally, it is important to understand that the statement credit cannot be used to purchase items, only to reduce the balance owed.

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What is a statement credit?

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