Been charged interest on fully paid off card!

jonesMUFCforever

YorkshireBoy wrote: »

It wouldn't surprise me. That's exactly how MBNA cards operate, and have done for the last 5+ years I've held them.

Also, my M&S card 0% period ends on 1st September, which is also my statement date.

Unless you meant to say "payment due date", not statement date?

I agree but statement dates and pay by dates still catch people out.

Chris842

I work for a job agency and was placed in an RBS call centre. We take calls from people with credit cards at Royal Bank of Scotland, Natwest, Mint and Tesco. (Although RBS dont own Tesco - Tesco pay RBS to run their customer service centres).

This is a common query we get from customers - they pay off their card in full then get interest the following month. The reason is its residual interest, which is interest accrued between the date the statement is generated and when the balance is paid off in full.

Example: Your statement is generated August 10th. You pay off your balance in full on August 20th. Because interest accrues daily, theres some interest that has built up between the 10th and the 20th of august. You just dont see it til the following statement, on September 10th.

To avoid it, its best to find out what date your statement is generated (in above example, the 10th) and pay it off in full on that date.

I dont know if this is the case for all bannks though. I just paid off my Lloyds card in full, and didnt get any more interest.
If you call up RBS/Tesco to complain about it, you might get it refunded as a "one off gesture of goodwill".