HELP!! Paid my credit card off but they still want money

Katiebird

Hi I paid my credit card balance off quite near the beginning of the month, i specifically said to them "I've paid it early in enough in the month so i won't get anymore charges then?" they said yes, and then i get a letter saying they had tried to take £89 out of my account but the direct debit had been cancelled, I phoned them and they said this is interest on the account that I owe.......can anyone tell me if this is correct or are they conning me out of more money ??? it's an Egg card btw.

:money:

YorkshireBoy

Sounds correct to me. If you have an interest bearing balance you need to pay off two consecutive statements in full and by the due date to stop the interest.

The figure you were given was a 'snap-shot' in time and did not include the interest that would accrue between you requesting the figure and your payment actually arriving and clearing onto the account.

Your biggest mistake was cancelling the direct debit with your bank before you'd received confirmation that no payment would be collected/your account was closed (if indeed you requested this?).

benf90

Also, now that the Direct Debit didn't go through the £89 odd interest will have become part of the 'revolving' balance, which basically means even more interest is going to accrue now.

The first thing you need to do is either phone them or go online and make a payment to clear the current balance as it stands now. Then, when your next statement is produced do the same thing again.

If the reason for your Direct Debit being returned was that it was 'cancelled' rather than being unpaid due to insufficient funds then you may not get charged a fee for this if you make the payment to them asap. It all depends on the timescales whether or not you receive a late payment fee.

By cancelling the Direct Debit you have broken the T&Cs (as they state an active DD must be in place at all times) so if you are charged a late payment fee it's probably unlikely you'll get it refunded straight away unless you make a real fuss about it.

As you originally asked somebody at Egg about further charges they may have taken this to mean late payment charges etc and not interest. I suppose they should have told you about the interest anyway so if you are charged a late payment or unpaid Direct Debit fee you could highlight the previous conversation to get it refunded. However, the interest is correct and that would stand.