Barclaycard Interest Query

nick-mob

Hi guys,

Got a Barclaycard here, used to be an Egg card.

I've set the monthly DD to be £30 from Feb 2012 onwards, but the interest is all over the place. I know we're only talking small amounts here, but I can't see how it's right. How can the interest be up and down so much with a constantly reducing balance? No transactions whatsoever, apart from the interest charge, and DD payment. The rate hasn't changed, constant 1.667% monthly.

Balance Interest
Oct-11 801.68 12.86
Nov-11 774.54 12.96
Dec-11 766.89 12.54
Jan-12 758.94 13.60
Feb-12 752.54 11.85
Mar-12 735.39 11.59
Apr-12 715.98 13.16
May-12 699.14 10.67
Jun-12 679.81 12.50
Jul-12 662.31 9.030
Aug-12 641.34 11.09
Sep-12 622.43 10.46

opinions4u

The number of days in each statement period varies.

If you check your statement dates you'll see that more interest has been charged for longer "months".

Bank Holidays are a common cause of this. Spikes at new Year, Easter, Jubilee etc.

The underlying trend is clearly down as your balance reduced. Increase your direct debit and it will accelerate the reduction in interest charges further.

nick-mob

Thanks, I realise that, it was more a case of, how does the Feb-11 interest end up being less than the Jun-12 interest for example, when the balance is around £72 less, and the month was a day shorter. Just interested to find out!