Interest charged on Credit Card

TeeMac67

Hi - Can anyone explain to me in simple terms why I am charged interest on my credit card?
I always pay my balance in full from my previous statement and one month I was 2 days late - I was charged interest the following month which I accepted, however, when I then cleared that balance PLUS the interest charged, I was then charged interest the following month. The credit card company just said it was residual interest but I don't understand this. Surely if I paid the interest I was due plus the outstanding balance then I should start from scratch again. I just don't understand it at all - what could I have done to have avoided being charged the interest the following month and they also tell me that I will probably be charged a small amount of interest next month as well - I am really confused.
Can someone explain it to me in basic language, please. Thanks.

exel1966

You have to clear your balance in full for two consecutive months to stop residual/trailing interest.

To minimise/stop trailing interest early you can slightly overpay the previous statement (anticipate or work out how much you'll be charged), though this could contravene t&C's on some cards.

bengal-stripe

The interest due is calculated to the day your statement got compiled. If your payment arrives 10 or 20 days later, there is still interest to pay for those 10 or 20 days. That is "trailing" or "residual" interest.

Once you have paid two consecutive payments in full, there is no more interest (presuming you pay every month the balance in full).