I have the bad habit of carrying a balance on my credit cards and paying monthly out of my bank account toward those cards.
I was talking to a friend recently about this, and he brought up the idea of paying a large portion of my pay check toward one of those cards, and then using that card to pay for expenses that I would normally pay out of my bank account.
I know there are some benefits to this, such as building up rewards points, and reducing the average daily balance on the card used for interest calculations. I'm positive that this is the best path to take, I just want to understand it better.
Are there any cons to this plan? Will doing this help my credit? Will this help pay down my balance quicker than just paying a fixed amount toward the card each month? (for the record: I pay larger amounts than the minimums each month.)