Two-cycle Billing

A two-cycle billing is a balance computation method used by credit card issuers to impose finance charges on two full cycles of card balances, as opposed to the most recent billing cycle's balances. This approach is sometimes also referred to as "double-cycle billing." In essence, this method lengthens the period over which interest charges can be applied, and can ultimately result in greater finance charges for cardholders. While double-cycle billing was once a common practice among credit card issuers, it has largely fallen out of favor in recent years and is now prohibited in many jurisdictions.