1660% interest

cotswoldav

I haven't posted for a while so this may have been dealt with in earlier posts - I always pay off the minimum on my credit card each month but recently made the mistake of not quite paying the full amount (I was £6 short of around £5,000). Imagine my total shock when a charge appeared on the following month's statement equating to over 1600% for this £5 transgression (and this was a "mainstream household name" provider)! A phone call to the issuer got my "debt" reduced by 50%, a further complaint by another 25% and then the last 25% following a formal complaint in writing to the card company. This post should maybe serve as a warning that you MUST pay off your minimum or you MAY get charged (the "small print" aaaargh!) interest based on the whole balance.

sharp910sh

cotswoldav wrote: »

I haven't posted for a while so this may have been dealt with in earlier posts - I always pay off the minimum on my credit card each month but recently made the mistake of not quite paying the full amount (I was £6 short of around £5,000). Imagine my total shock when a charge appeared on the following month's statement equating to over 1600% for this £5 transgression (and this was a "mainstream household name" provider)! A phone call to the issuer got my "debt" reduced by 50%, a further complaint by another 25% and then the last 25% following a formal complaint in writing to the card company. This post should maybe serve as a warning that you MUST pay off your minimum or you MAY get charged (the "small print" aaaargh!) interest based on the whole balance.

All credit cards are like this, if you dont pay off the full amount then you get charged interest on the full amount.