What Does it Mean When a Credit Was Posted to Your Credit Card?

Credit cards can be an important tool in managing your finances and building a good credit history with the credit reporting agencies. Managing your credit card's transactions and balance is an important part of managing your money properly.


A credit applied to your credit card statement is a transaction that is either owed to you or applied to the balance on your card. When you purchase something with your credit card, a debit is placed on your account, meaning that you will owe the credit card company for the purchase you've made. A credit is the opposite of a debit. A credit reduces your balance owed, while a debit increases it.


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Credits can appear on your credit card statement for a variety of reasons. Refunds from returned items at retail facilities, rewards from your credit card issuer's reward program, courtesy credits for inconveniences and inconvenience credits from your credit card issuer are all possible credits.


To determine the reason for a credit, call your credit card issuer's customer service phone number. It is usually located on the back of the card.


If you have a balance on your card at the time the credit is issued, it will just be applied toward the balance on your account. If you have a zero balance for an extended period and a credit is issued, it is likely that the credit card issuer will issue you a check for the credit.

Check with your credit card issuer regarding their rules for credits and check issuance.