Question about Nationwide Credit Card payments

TheMoonandBack · 17 November 2017 at 9:42AM

Morning all, I have a question (probably a stupid one !) about how Nationwide take monthly payments on credit card accounts.
I have a Nationwide credit card which I normally use for internet purchases and, until a couple of months ago, it was set to pay the full the full balance, which it did.
I recently did a 0% balance transfer onto it and changed the monthly payment to £500/month. Today was the first month it should have taken £500. I’ve just checked my current account and the payment is only £411.46.
During the past month I have used the card 4 or 5 times to make purchases. As these aren’t at 0%, I have made additional payments of the exact amount spent on the card each time.
These purchases totalled 85.54, so Nationwide have counted the additional payments of 85.54 towards the 500 monthly payment. I thought if my set payment was 500 they would take that regardless of any additional payments I made, have I misunderstood something ?

StopIt · 17 November 2017 at 9:53AM

Well, no harm done here but something to maybe call Nationwide to confirm?

Nationwide may well see a set payment of £500 as a total, and not one payment, so adjusted the DD accordingly.

As you're on a 0% and presumably well above the minimum payment, you can pay the difference manually and it wont affect your next payment as long as it is before the next statement date.

[Deleted User] · 17 November 2017 at 9:56AM

Yes. You've misunderstood that some lenders will take the DD in full, regardless of some will reduce the DD accordingly.

It appears that your card falls into the latter camp.

However, the payments still falls short of the £500, so check for any other credits that may make up the difference.

If you need to make additional payments, time them to go after the DD has been called for.

SuperAllyB · 17 November 2017 at 6:49PM

Also be aware, that with a lot of cards your additional payments will be allocated against the 0% balance as you haven't waited until the purchases have appeared on a statement, therefore some interest is unavoidable.
Nationwide may be different - I don't have one to check.

wiseonesomeofthetime · 17 November 2017 at 7:47PM

I hold a Nationwide Select credit card and can confirm that any additional payments made to the account do count towards the agreed payment for that statement. That DD figure will then be taken minus any amount paid in separately.

Unlike MBNA, for example, who will still take the agreed payment, in my case minimum payment, in addition to any amount paid in separately.

Hope that helps.

I had tried paying Nationwide at minimum payment DD with a separate regular payment of £2 to avoid the minimum payment marker on my credit account. When I realised that it made no difference anyway, I just set it to a fixed payment, like OP, to meet my minimum obligations, plus some.

TheMoonandBack · 17 November 2017 at 10:27PM

Thanks for the replies everyone, I’ve had a fair few cards in the past and Nationwide is the first one to do this. I would personally prefer that they take the fixed amount fully as selected by me, I’ll just have to get used to it.
Thanks again.

twiglet98 · 17 November 2017 at 11:52PM

You can make additional payments between the date that your regular direct debit is called, and the next statement date - there's a window of a few days. Suppose your statement is on the first of each month and the direct debit for your fixed amount is taken on the 26th, any payments you put through after the 26th but before the 1st of next month will be credited on your next statement as well as your normal £500. It's just interim payments that you make between the statement date and the direct debit date that will be put towards the £500 you've asked them to take. They spell it out in the section 'How to make payments' (or similar) on the bottom of the paper statement and in online banking you should be able to get a copy of the paper statement using Adobe Reader. Mine won't work tonight since Firefox's awful automatic upgrade or I'd copy and paste it! Hope you can see it on your online banking.

wiseonesomeofthetime · 18 November 2017 at 7:43AM

Oh, just a warning that Nationwide also amend their DD very quickly.

I had received my statement and my DD was for the minimum payment (as detailed before).

I amended my DD to a fixed payment, in order to cover minimum plus a bit more, with the intention of covering those from the next statement.

Nationwide took the minimum payment, as expected, but then seven days later took an extra amount to make it up to the Fixed Sum I had requested for subsequent statements!!

Did not affect me, however, anyone who runs their account close to the zero balance, for whatever reason, may have been unintentionally overdrawn in their current account.

I did not raise it with Nationwide simply because it did not affect me. I had the £6.65 in there. . . . .

. . . others may not.

Be warned.

Question about Nationwide Credit Card payments

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