Tesco credit card - interest charged but paid on time

scrub

I've been with Tesco credit card for many years and always paid my bill off on time, usually on the last day it's due. However, last month they've charged me saying that payment didn't go through until the end of the following Monday - I paid Saturday afternoon with the bank confirming that payment would go through by the end of the day.

I'm sure in the many years I've had the card that I must have paid on other weekends too so why are they now saying that it's only work days that payments are processed? It's the digital age for crying out loud!

[Deleted User]

It's always only been working days that count.

YorkshireBoy

It's a payment due by date...not a target to achieve.

The payment services regulations allow for a payment to hit the destination account by the end of the next working day. At it's worst, that would have meant close of business on Tuesday (because your bank could have delayed sending it until Monday).

What does the statement say regarding online/telephone banking payments? Allow 2 working days? or more?

Because you've incurred interest it sounds like you always pay in full? If that's the case you may want to investigate direct debit. Your payment, which would have been due on Saturday/Sunday, would have been collected automatically on Monday...and if Monday and Tuesday were Xmas Day/Boxing day the DD would have been collected on Wednesday - with no penalty!

SnowTiger

scrub wrote: »

I've been with Tesco credit card for many years and always paid my bill off on time, usually on the last day it's due. However, last month they've charged me saying that payment didn't go through until the end of the following Monday - I paid Saturday afternoon with the bank confirming that payment would go through by the end of the day.

I'm sure in the many years I've had the card that I must have paid on other weekends too so why are they now saying that it's only work days that payments are processed? It's the digital age for crying out loud!

Deja vu?

https://forums.moneysavingexpert.com/discussion/4614485

scrub

Thanks!

Looks like I'm not the only one. Clearly, something has changed with their processes. I've paid like this for years and it's never been a problem.

Tesco's T&Cs say they'll take the money as soon as it's there but my bank confirms that they didn't take until the next day even though it was waiting.

I guess it's one of those little things banks do every now and again and hide behind their T&Cs knowing that the majority won't complain or leave. However, I'm looking for a new credit card now after they lied about PPI and now this.

R_P_W

Why leave,it so late?

scrub

Why not? The payments always went through fine for years - I want the money in my account not theirs.

Gizmo247

With regards to their Direct Debit collections, different banks handle payment dates that fall on a non-working day themselves in two different ways, some banks will collect on the working day before (Santander) and some on the working day after (Nationwide). Each way is considered to be "paid on time". By the looks of it Tesco have changed from the latter to the former. But, as self-regulating payee, you must always follow the former.

Setting up a direct debit to do this so easy and is always the best way forward. Not doing so implies that either the payee can decide not the pay at all or that they are somehow have better control of their finances. The reality often plays out very differently.