A&L (MBNA) Credit Card - £1 Interest every month

finster

Hi all,

I've just noticed on my A&L (operated by MBNA) credit card statement that they've taken exactly £1 "interest" from my account over the last couple of months. I pay my balance in full promptly each month, so I'm wondering if they've introduced a minimum interest charge? I did have some revised T&C's a couple of months ago, but I never noticed this...

Has anybody seen anything similar?

Thanks.

normanmark

What kind of interest is it? Cash interest? Purchase interest? Have you paid every bill on time with no late charges applied to the account and in full?

finster

It just says "interest". Looking at my statement a bit more closely, it looks like my statement date is the 18th, and the balance was paid off the account on the 29th. Even so, this doesn't seem to leave me much time between getting the bill and paying it (going through the postal system and then the money being paid from my debit card).

Hmmm...

PROLIANT

Then set up a direct debit and stop complaining over a quid! :rolleyes:

finster

PROLIANT wrote: »

Then set up a direct debit and stop complaining over a quid! :rolleyes:

You're right of course! I'm more bothered that I thought they'd pulled the wool over my eyes than the quid!

Cheers.

PROLIANT

finster wrote: »

You're right of course! I'm more bothered that I thought they'd pulled the wool over my eyes than the quid!

Cheers.

Look, they have not pulled the wool over your mince pies, just be carefull wit credit cards, set up a DD and you can't go wrong.

finster

Didn't know I could set up a DD with a varying amount. I'll look into it. Cheers.

ICan'tStandIt

finster wrote: »

You're right of course! I'm more bothered that I thought they'd pulled the wool over my eyes than the quid!

Cheers.

Most credit card companies have a minimum interest charge which is often 50p or £1 and although the amount is small, it's a bit much if the actual interest amount should be something like 23p and they whack it up to £1.

Did you ever take out cash ?

If you did, you would have needed to have paid off your account down to a zero balance to clear the cash interest before using it again.

A direct debit paying off in full is a good idea BUT NOT if you ever use it for cash as you might find you have used your card before your direct debit collects. If this happens, the cash is not paid off as it has a higher interest rate to your purchases, which means the purchases are paid off before the cash.

This can often be the reason for small amounts of interest being added each month for no obvious reason.

Hope this helps.

Richard019

ICan'tStandIt wrote: »

Most credit card companies have a minimum interest charge which is often 50p or £1 and although the amount is small, it's a bit much if the actual interest amount should be something like 23p and they whack it up to £1.

Did you ever take out cash ?

If you did, you would have needed to have paid off your account down to a zero balance to clear the cash interest before using it again.

My MBNA interest has just been changed to a £1 a month minimum (when applicable) so would assume the same for OP.

I would agree with the cash withdrawal/online gambling idea as the source for it as well.