Money Mantra 1: Pay Your Credit Card Bills in Full and On Time

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Money Mantra 1: Pay Your Credit Card Bills in Full and On Time

Welcome to the very first episode of’s new podcast series, Money Mantra. We start off with our most favourite subject: how to wield credit cards the right way.

What is Money Mantra about?

Money Mantra was created as a series of bite-size money saving tips that you can repeat to yourself on a daily basis to help your personal finances positively grow.

We’ve designed each Money Mantra into printable formats, so you can create your own hardcopy versions of them. Here is this week’s:

Money Mantra 1

Download here.

The Money Mantra podcast goes a lot more in-depth into each mantra, with each episode running about 10 minutes long and Managing Director Rohith Murthy taking you through:

  • Complex financial topics by simplifying them
  • Savvy saving tips in Singapore
  • How to use financial products the right way

Why are we publishing these podcast episodes?

Last year, Standard and Poor launched a Global Financial Literacy survey which found that only 59% of Singaporeans are financially literate. Compared to other highly-developed nations such as Denmark, Norway and Sweden (all of which scored 71%), this is a fairly low score.

Yes, the finance world might seem intimidating as a whole. But Rohith is here to break it down for you. Truth be told, once you understand personal finance, you’ll find managing money is easier than you thought!

About Rohith Murthy

A year ago, Rohith founded, one of Singapore’s leading financial comparison sites. Before that, he was the Digital Banking Head at Citibank for Central and Eastern Europe. He has accumulated over a decade worth of banking experience, and understands the industry inside out. Rohith is fond of using financial tools to his advantage, and believes that everyone can do the same too.

Money Mantra 1: Pay Your Credit Card Bills in Full and On Time

In this episode of Money Mantra, Rohith explains:

  • How to avoid getting charged 25% p.a. interest on credit cards
  • What happens when you only pay the minimum sum on your credit card statement
  • Why you should always pay your credit card bills on time
  • When and how banks charge interest on credit cards
  • How you can optimise your credit card to gain free rewards, cashback and air miles

Listen to it on iTunes

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“The only rule you have to keep in mind when using your credit card is to always pay your credit card bills in full and on time.”

Credit card interest rates are the highest in the market compared to other credit facilities offered to you by a bank such as a line of credit or personal loan. They are typically around 25% p.a. and this interest rate is applied and compounded daily. 

Charging a payment on your credit card is technically taking out a loan, but it’s a loan that doesn’t start charging you interest until you miss paying your bills by the due date.

How interest accumulates

Take 24% per annum divided by 365 days, and that’s the interest that you’ll be charged daily. So if you only made S$50 payment on a S$1,000 bill and do not make any other purchases using that credit card, this is how your interest would look*: 

Credit Card Interest

*Disclaimer: Every bank charges interest rates differently. Some charge it on the unpaid balance, some on the full statement amount. Always read the terms and conditions on a credit card before applying for one.

Don’t own a credit card yet? Use’s free comparison tools to find the best credit card in Singapore for you.

Read This Next:

11 Silly Misconceptions People Without Credit Cards Believe
9 Best Cashback Credit Cards for Supermarkets in Singapore

Rohith Murthy

By Rohith Murthy
Rohith leads Singapore’s, a financial comparison site aimed at helping consumers in Singapore save money and time by finding the right financial products.