Amex taking DD almost 2 weeks before due date

khr_2

I have an Amex Card (BA airmiles) which I pay off in full every month by Direct Debit. Amex always took the DD a few days before the due date, but recently they changed their system so that now the DD leaves my account on the 24th of each month with the due date being the 4th of the following month. I.e they take my money almost 2 weeks before it's due. Can they do this?

The obvious solution would be to pay "manually" every month, but I'm not sure I would be organised enough to ensure the money clears on time.

jonesMUFCforever

Have they recently revised (downwards) the interest free days?
A lot of cards have which would explain your situation.

Paul_Herring

http://forums.moneysavingexpert.com/showthread.html?p=23956249

ajb69

I gave them a ring, and they happily moved my direct debit date back for me, but by moving my due date back a fortnight; in other words, they made my next billing cycle 6 weeks long, and then back to every four weeks after that. So although they still collected the DD "early", they compensated for that by making my due date later every month.

Hope that makes sense!

Drew

khr_2

Thanks a lot for the tip, Drew!
I called them and they amended my cycle so that the DD now comes out of my account after pay day - result!

I still think it is outrageous that they cut the credit period by 2 weeks when you pay by DD.
I understand that they don't like me paying off in full every month, but penalising me that severly just doesn't seem right. I do wonder if that is legal.

steve_jo

I noticed this just recently and think they are trying to discourage people from paying by direct debit.

Their excuse was that it gives time for problems to be corrected but my other cards don't do this.

Basically they want the money early in return for the convenience of direct debit.

I've cancelled my direct debit and am organised enough to make sure that I won't miss a payment. It leaves a bit of a nasty taste with me so I'll keep an eye on the best buy cards and move when it makes sense to.

Don't let them get away with it!

Cheers
Steve

td_007

steve_jo wrote: »

I noticed this just recently and think they are trying to discourage people from paying by direct debit.

Their excuse was that it gives time for problems to be corrected but my other cards don't do this.

They have been doing this for a while and their reason is so feeble when other cards that I have take the DD on about the payment due date. Yes just another example of Amex trying to give its customers the raw deal!!