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balance increases

Sorry if this thread has already been covered.
I have a direct debit (which varies every month by a few pence)for a cc payment. It is for a marbles card (previously HFC) I just make sure the money is always in for the debit . Sounds stupid I know but when the statement comes I just check how much the payment is for and make sure it is there for the due date. For the last three statements I have noticed that the balance is not going down-it is actually increasing by about a pound or so. Does anyone know if this could actually be illegal?
Thanks in advance for help

Comments

  • opinions4u
    opinions4u Posts: 19,411 Forumite
    edited 24 January 2010 at 7:15PM
    1) Yes, it's legal.
    2) It's caused by the interest rate being higher than the minimum payment (or other insurances being added on).
    3) That means you need to start paying extra - otherwise your debt will continue to rise every month.
  • Typhoon2000
    Typhoon2000 Posts: 1,180 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    The minimum payment is nothing to do with reducing your balance, it is the minimum you have to pay to not be hit with a non payment charge for the month.
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