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Overlimit Fee charged - unfair?

Hi, I went within £20 of my credit limit last month, but was disappointed to find that when the bill came, I was charged an Overlimit Fee of £12 because the interest charged had pushed the outstanding balance over the credit limit.

Is this fair?

Comments

  • marksoton
    marksoton Posts: 17,516 Forumite
    In a word, no !
  • opinions4u
    opinions4u Posts: 19,411 Forumite
    edited 31 December 2009 at 1:24PM
    titmus wrote: »
    Hi, I went within £20 of my credit limit last month, but was disappointed to find that when the bill came, I was charged an Overlimit Fee of £12 because the interest charged had pushed the outstanding balance over the credit limit.

    Is this fair?
    Whether you think it's fair or not is irrelevant.

    If you spend on a credit card and don't clear the balance in full each month you will be charged interest.

    If you go over your agreed limit, through a transaction or interest charge, most if not all credit card companies will charge you for going over that limit.

    You could politely ask them if they would waive the fee.

    More importantly, how about reducing your spending and getting your card debt down a bit, so that you are never worrying about exceeding your limit?
  • ElkyElky
    ElkyElky Posts: 2,459 Forumite
    edited 31 December 2009 at 1:58PM
    I think it is fair. After all, it does state the charge in the terms and conditions, which you agreed to upon signing. You broke the agreement by failing to make sure you would not exceed the credit limit.

    I'm sure they are saying the exact same thing.. that it is unfair that you broke the agreement.
    We’ve had to remove your signature. Please check the Forum Rules if you’re unsure why it’s been removed and, if still unsure, email forumteam@moneysavingexpert.com
  • PROLIANT
    PROLIANT Posts: 6,396 Forumite
    1,000 Posts Combo Breaker
    titmus wrote: »
    Hi, I went within £20 of my credit limit last month

    Oops.
    titmus wrote: »
    I was charged an Overlimit Fee of £12 because the interest charged had pushed the outstanding balance over the credit limit.

    That is a result of your error - learn from it.
    titmus wrote: »

    Is this fair?

    Yes.
    opinions4u wrote: »
    You could politely ask them if they would waive the fee.
    Since when has the world of computer software design been about what people want? This is a simple question of evolution. The day is quickly coming when every knee will bow down to a silicon fist, and you will all beg your binary gods for mercy.
  • davethorp
    davethorp Posts: 1,578 Forumite
    Part of the Furniture 1,000 Posts
    edited 31 December 2009 at 2:11PM
    Same thing happened to me with my CC a few months back when the interest took me a whole 8p (yes eight pence) over my limit.

    A polite letter explaining this wasn't typical of how I normally handle my finances and asking if as a gesture of goodwill and because the breach was only very minor they would consider refunding the £12 charge on this occasion got the desired result

    Now, if my card is close to the limit coming up to a billing date, and I'm in any doubt if it will stay in limit with the interest, I'll make a small additional payment equal to my normal monthly interest payment to cover it
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