Help understanding charges?

susiecm3

I am self employed and one of my payment this month never went in the bank on time so for the first time i had a credit card payment referred to payer, but then i was over drawn by £35 and but the credit card have been on the phone as they have not been paid, so how come i am over drawn????

I am worried sick cause i dont understand it

ironlady2022

If it is a DD that you have set up to pay the credit card. The bank in this case has attempted to pay it and when you don't have enough money in (as you had a late payment going in), money is taken out then put back in and you are hit with an 'unpaid item' presumably that is what the £35 charge is for.

blueberrypie

It seems likely that the bank has charged you a fee for a non-paid item and that fee has taken your account into overdraft.

Speak to the bank and explain the circumstances. If you haven't been overdrawn on any other occasion in the last year or so, they might be willing to waive the charge this time. (They don't have any obligation to do it, but most are willing to do if it's not a regular problem.)

Speak to the credit card people and if you haven't already made the minimum payment due, do it as soon as possible. This will possibly save you charges on the credit-card account, and will avoid a non-payment being recorded on your credit record.

Talk to them both sweetly and apologetically and they will likely be understanding.

Ask the bank if it's possible to set up an authorised overdraft on the account. If this situation arose again, you'd still go overdrawn - but it would cost you less than going into an unauthorised overdraft, and the credit-card would be paid.