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At Capital on Tap, we know that managing your business credit card wisely can unlock greater financial flexibility and help your business thrive. Strategic repayments don’t just free up your available credit—they can also boost your cashback rewards, improve your business credit score, and save you money on interest charges.
In this blog, we’ll explore four repayment strategies to help you get the most out of your Capital on Tap Business Credit Card. Whether you’re looking for predictable monthly payments or want to preload your card for extra spending power, we’ve got you covered.
When should I pay my business credit card bill?
While there is no one-size-fits-all answer, choosing the right repayment strategy can make all the difference to your available credit, cash flow, and credit score. Below are four repayment strategies tailored to different business needs:
Monthly repayments:
If your cash flow is steady, monthly repayments might be the best option for you. By paying off your full balance at the end of each month:
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You avoid interest charges entirely.
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You keep your credit utilisation low, which is great for your credit score.
However, monthly repayments may leave you with less flexibility during the month if unexpected expenses arise.
Weekly repayments:
For businesses with variable income weekly repayments can provide greater control over cash flow. Here’s how they work:
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Make smaller, more frequent payments to reduce your balance faster.
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Free up more of your available credit throughout the month for additional purchases or emergencies.
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Monitor spending more effectively to avoid overspending or accumulating interest charges.
Weekly repayments are a great way to stay agile while keeping costs under control. Learn how to set up weekly repayments.
Early repayments:
In addition to scheduled payments, making early repayments whenever you have extra funds can be a game changer. Early repayments allow you to:
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Instantly reduce your balance and increase available credit.
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Stay prepared for unexpected costs or seize new opportunities as they arise.
Even small early repayments throughout the month can make a big difference in keeping your spending power high.
Preloading:
Looking for even more flexibility? Preloading takes things a step further by allowing you to transfer additional funds into your account beyond your current balance. This strategy offers unique benefits:
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Increase your available credit in advance—perfect for large purchases or busy seasons.
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Earn cashback rewards on purchases made with preloaded funds (1% for Free plan members and 1.25% for Pro plan members).
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Enjoy peace of mind knowing you have extra financial headroom when you need it most.
Check out our guide to get started with Preloading.
How to make an early repayment
Making an early repayment on your Capital on Tap Business Credit Card is quick and easy using our online account or mobile app:
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Go to the ‘Payments’ tab and click ‘Make a payment’.
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Choose your payment method—either Bank Transfer or Debit Card.
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If you choose Bank Transfer, add Capital on Tap’s bank details as a payee via your online banking platform.
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If you select Debit Card, enter the amount you'd like to pay (up to your current balance) and complete the transaction using your card details.
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Your payment will be applied instantly, freeing up available credit for future purchases.
Want even more flexibility? If you’d like to temporarily increase your credit limit beyond what you owe, explore preloading today! Learn more about Preloading.
Benefits of early credit repayments
Strategic early repayments come with several advantages that can help keep your business financially agile:
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Improved credit score: Your credit utilisation ratio—the percentage of available credit you’re using—has a significant impact on your credit score. Early repayments lower this ratio, boosting your score over time. A strong credit score opens doors to better loan terms and lower interest rates in the future!
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More available credit: Paying early frees up more of your available credit,giving you greater flexibility when handling unexpected expenses or making large investments for growth opportunities.
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Maximised cashback rewards: By freeing up spending power with early repayments, you create more opportunities to earn cashback on eligible purchases—turning every pound spent into rewards for your business!
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Avoiding interest charges: Carrying a balance from month to month often incurs interest charges—but early repayments help you avoid these costs altogether by taking advantage of interest-free periods.
The bottom line
By adopting smart repayment strategies like early payments or Preloading, you can maximise the potential of your Capital on Tap Business Credit Card while keeping costs low and flexibility high. Whether you're looking to improve cash flow management, boost rewards, or strengthen your business credit score, these tools are designed to help you succeed.
FAQs
What happens if I go over my credit limit?
Exceeding your credit limit may result in declined transactions or restricted spending until you make a payment to reduce your balance or wait until the next monthly payment is processed. With the Capital on Tap Business Credit Card, you won't be charged a fee, but you won't have funds available until you make a debit card payment to reduce your balance, or your next monthly payment is taken.
Can I use my card after paying off my balance?
Absolutely! Once you’ve paid off your balance, you’ll regain access to the full available limit—ready for new purchases whenever needed.
Can I pay off my credit card early?
Yes! Early payments are encouraged as they help avoid interest charges, improve cash flow management, and free up more spending power.
