The Old Navy Credit Card minimum payment is $29 or 1% of the statement balance, plus fees, past-due amounts, and interest – whichever is higher. If the statement balance is less than $29, the Old Navy Credit Card minimum payment will be equal to the balance. If you have recently missed a payment, the issuer may add a late fee to your minimum payment.
The minimum payment is the smallest amount you’re obligated to pay by the due date for your Old Navy Credit Card account to be in good standing. Failure to pay by the due date may result in a late fee. Your credit score will also take a hit if you miss multiple minimum payments.
Mobile app: You can also make an Old Navy Credit Card payment through the mobile app for iOS and Android.
Phone: To pay your credit card bill over the phone, call (866) 928-8598 or the number you see on the back of your new Old Navy Credit Card.
Mail: To pay your Old Navy Credit Card via mail, send a check (but not cash) to the following address: Barclays P.O. Box 13337 Philadelphia, PA 19101-3337
Don’t forget that mail payments take at least 5-7 days to post, so make sure to send them well before your due date. This way, you can avoid being charged with late fees. On the other hand, online and phone payments will be processed within 1-3 business days.
If you don’t pay your credit card bill at all, you will likely get charged a late fee, lose your grace period, and have to pay interest at a penalty rate. Your credit score will also go down if you fall at least 30 days behind on a credit card bill payment. If you continue to not pay, your issuer may close your account, though you’ll still be responsible for the bill.… read full answer
If you don’t pay your credit card bill for a long enough time, your issuer could eventually sue you for repayment or sell your debt to a collections agency (which could then sue you). But it’s not all or nothing with credit card payments. It’s an entirely different story if you simply pay the minimum amount required.
If you always pay at least the minimum required by your due date, your account will remain in good standing and you won’t have to face late fees, penalty rates or credit score damage. You’ll just have to pay interest on the remaining balance at your card’s regular rate.
Here’s what happens if you don’t pay your credit card:
If you pay the minimum required but not the full balance due: Your total unpaid balance will accrue interest at your card’s normal APR. You’ll also lose your grace period, so new purchases will accrue interest right away, too.
If you don’t pay at all: Your account will be reported as past-due to the credit bureaus after two missed due dates. That will hurt your credit score. In addition, a late fee of up to $40 may be tacked onto your balance (but it can’t exceed your minimum payment). Your issuer may also apply a penalty APR to new purchases, though they must inform you 45 days in advance.
If you get 60 days behind on minimum payments: The issuer can apply a penalty APR to your entire existing balance.
If you get 180 days behind on minimum payments: The credit card company will have to charge off your debt (consider it a loss for taxes). But that doesn’t mean they’ll stop trying to get you to pay. They may sell your debt to a collections agency, or they may choose to sue you.
If you don’t pay for 3-15 years: You are vulnerable to a lawsuit, depending on which state you live in. Time-barred debt is not a valid defense until your state’s statute of limitations runs out. If you lose a lawsuit and are ordered to pay, you might have your wages or bank account garnished.
So the bottom line is that you should always try to make at least the minimum payment on your credit card. Sure, you’ll still owe interest, but you won’t have to deal with the other negative consequences of not paying your credit card at all.
If you’ve fallen behind, the most important thing to do is catch up on your missed minimum payments and bring your account back to current status. After that, your goal should be to pay your full balance due for two months straight. Though that’s easier said than done, doing so will restore your grace period and stop the buildup of new interest.
No, paying the minimum on a credit card does not hurt your credit score – at least not directly. It actually does the opposite. Every time you make at least the minimum credit card payment by the due date, positive information is reported to credit bureaus. And as long as you pay the minimum amount required by your card issuer, the exact amount you pay doesn’t factor into the payment history portion of your credit score. It’s simply noted that you’ve made a payment on time.… read full answer
There is a way your credit score could eventually be impacted by only making minimum payments: high credit utilization. Credit utilization is the percentage of your total available credit that’s being used, or your “debt-to-credit” ratio. If you make a habit of racking up more credit card charges than you can pay for every month, you’ll end up with high utilization. Credit-scoring companies see credit utilization over 30% as a negative. To what degree high utilization will affect a credit score depends on your personal credit history and which scoring model is used, but it’s safe to say your debt-to-credit ratio accounts for about 20% of your credit score. If you don’t have much credit history, high utilization will have a greater impact on your score than it would for someone with a diverse and lengthy credit history.
It’s worth noting that paying only the minimum amount due on your credit card may seem cheaper in the short term, but you’ll pay for the convenience in interest, and it could reach a point where even the minimum payment is unaffordable. On that note, be advised that credit card payments below the minimum amount due don’t count as on-time payments. And not making the minimum payments can spell real trouble for your credit score.
So, regularly paying only the minimum on a credit card could hurt your credit score in the long run if it leads to you spending beyond your needs and racking up more debt than you can afford to repay.
WalletHub Answers is a free service that helps consumers access financial information. Information on WalletHub Answers is provided “as is” and should not be considered financial, legal or investment advice. WalletHub is not a financial advisor, law firm, “lawyer referral service,” or a substitute for a financial advisor, attorney, or law firm. You may want to hire a professional before making any decision. WalletHub does not endorse any particular contributors and cannot guarantee the quality or reliability of any information posted. The helpfulness of a financial advisor's answer is not indicative of future advisor performance.
WalletHub members have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. This question was posted by WalletHub. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not a financial institution’s responsibility to ensure all posts and questions are answered.
Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.