MBNA monthly interest has taken me over credit limit, now a default fee?!!

snuffy2010

Hi, new to MSE - I have a MBNA platinum CC with balance just over 8k. A few months back my interest rates jumped by 90% to 26.5%, but I kept paying and have a direct debit setup so that I am always on time.

This month, (even though I haven't spent anything for 2 months) the interest charged has taken me £2 over my credit limit and they have added a £12 default fee to my monthly payment!

How is this possible when the interest rates shown on last month and this month's statements are exactly the same and there has been no spending??

I am struggling to make the payments as it is at the moment but have been a good customer and never missed a payment

I am very confused and not looking forward to trying to talk to a company robot later to try and get the charge removed (

Any comments/advice/previous similar experiences greatly appreciated!!!!

Thankyou for reading !

stephane_2

You got over your limit probably because the payment that you are making (minimum??) is not enough to cover the interest being charged. The only way you can get that under control is to make much larger payment, minimum payment will not be enough

jonesMUFCforever

I did think though that credit card companies had to ensure the minimum payment covered all charges for the month to stop this happening.

opinions4u

jonesMUFCforever wrote: »

I did think though that credit card companies had to ensure the minimum payment covered all charges for the month to stop this happening.

Nope. While I think they should have to the OP has just learned that reading statements, looking at minimum payments and estimated interest figures in advance is a good idea.

Snuffy: How much did you pay and what charges were there on the account (e.g. interest, PPI etc)?

Regardless, I strongly suggest that you make a polite phone call and ask for this £12 charge to be ruimbursed and then make sure that you pay more than enough to cover interest and a little bit of capital reduction going forwards.

ILW

Running a CC account within a few quid of the limit is always risky.