Credit card question about paying off statement and credits ?

wizard102

Hello,

I know some credit cards might have different policys etc but what would happen normally in the following scenario.

You received your credit card statement in the post and it has a bill of £100 . To be paid by 15/06/2012.
The minimum payment is £5.

Then on the 04/06/2012 you receive a £300 credit (from a store for returning an item or whatever) .

You then check your online account and see that your credit card is £200 in credit. So they owe you £200 and you owe them nothing.

Now if the 15/06/2012 (card bill date due) comes around and you are still in credit, does this mean you don't have to pay them anything and you won't get any late payment fees ?

Or do you have to pay at least the mimium payment and go to +£205.
And I take it you wouldnt get charged interest either

McKneff

I would imagine on the latest bill where there is a credit, the minimum payment would probably read '0'

I may be wrong of course and Im quite happy to be corrected.

[Deleted User]

The only real advice we can give is to do exactly as it says on the statement. If it says make a payment by x date, then do it, whether you think you are in credit or not.

*Scarlett

Why not give them a call. Make a note of the full name of who you have spoken to, time, date etc.

They will tell you what to do and if you are in credit they may issue a cheque for the balance.

McKneff

For the sake of a fiver min. payment, if thats what it says, I would just pay it.

The phone call could cost you a couple of quid:eek:

zen135

It really depends on the credit card provider. Read your card's terms and conditions. Some providers accept a refund as a credit to your account which counts towards the minimum payment and others don't and charge a late payment fee if you don't make any further payments (and mark your credit report as well). So, my advice would be to pay the minimum payment as normal rather than risk your credit rating.

leapfrogging

Yeah just pay it!

blitzboy

In my experience, providing the original statement was produced BEFORE the £300 credit was applied, this credit would be treated as a payment received and therefore more than covers the minimum amount.

zen135

blitzboy wrote: »

In my experience, providing the original statement was produced BEFORE the £300 credit was applied, this credit would be treated as a payment received and therefore more than covers the minimum amount.

Not always. Take for example, MBNA, who state in their terms & conditions - '...if you receive a refund or credit to your account after your statement date, you must still pay at least the minimum payment that we have asked for.'

Cell

Pay it and avoid all doubt!!!!!