Balance pain in full - interest added after?

dfitz24

Hi, im fairly new to the forum here and just thought i'd ask a little advice regarding a credit card.

A little while back my OH paid her credit card balance on a CapOne card in full via a debit card. A while later she recieved some phone calls stating that a payment had been missed. She explained that her balance had been paid in full and to this day (10 months later) has not used the card. However it seems that interest was charged after the account had been settled.. After months of trying to speak to somebody - other than indian call centre staff, who couldn't understand us or the other way round - and many charges being added the account has now been passed to debt collectors. If interest needed to be added, shouldn't it have been done when the account was paid up in full?? Are we in a position to argue this or are we just going to have to stump up and shut up?!
Any advice would be appreciated, thanks!

CLAPTON

unless you pay in full each and every month then interest is charged form the day you spend the money until the day you actually pay it back.

so if you have previously being paying interest but then decided to pay in full one month, then the next month you will be charged the residual interest i.e. the interest from the previous statement date to the date you actually paid the bill.

once you have paid two consecutive months in full there is no further interest.

all credit cards work this way.

surely your OH received bills with the residual interest on?.. by now her credit record may well be adversely affected.

mintymoneysaver

If the balance had been on her account for more than a month then even though she cleared it she would have some residual interest to pay the next month as well, then the month after that it would have finally been clear. It's something to do with the fact that you are still paying interest until the day that you pay so this has to be paid the month after.
This is the same with all credit cards so I really hope that she hasn't shot her credit rating because of this as it would have happened with any card.

mintymoneysaver

You beat me to it, Clapton!