Virgin Credit card - default charges

JaneBundy

Hi

I've had my Virgin Credit Card for quite a while now and have just been making minimum payments.

I check with my Internet bank Account every day making sure all my bill payments are made.

Yesterday I decided to check my Vigin Credt card balance. I knew that the minimum payment covered the interest and a reasonable amount of the actual balance and so was pleased (ish) that my balance had gone down by £400 - 500. It was then that I noticed the June enties:- direct debit received - Thank you £XXX. the following day - £12 default charge and a week or so later an entry for Interest.

Confused as to why I had a default charge I checked May, then April online statement and so on........despite making my minimum payment and my balance reducing nicely they had charged me £12 every single month for the 12 months that I was able to go back online.

I went straight on the phone......in March 2012 my direct debit was returned and despite making that payment manually as they rang me to chase it I apparently never actually made a payment for the £12 default charge. I said I was told what amount to pay and surley the minimum payment each month would take "the minimum payment" required!!! Well apparently not, the default charge should have been paid manually. So each month for 16 months I was in arrears for £12 therefore prompting a new default charge of a further £12 each and every month. So in all 16 x £12 plus interest plus, and even more upsetting, a very poor credit rating!!

They have offered to give me back 6 £12's as a gesture of goodwill but I am more concerned with my credit score and the misleading entries - I have sasked if they can make a note on my file and they have said they have to be honest with prospective lenders!! Where do I stand I have, in good faith, made my payments and my card balance is reducing nicely. I have had a default charge or 2 in the past with other credit and the minimum payment has always covered this.

I realise I should have been going online each month and check my statement and shall definitely do so in the future but I knew payment where being made so I did not concern myself.

A Manager is ringing me back today, so any advice will be greatly appreciated.

HELP!

JaneBundy

Bump Bump

Any ideas anyone :0)

[Deleted User]

I'm guessing you've had the card fro a couple of years or more, before the changes to min payments being 1% pus fees and interest came in?

If so, then you're reliant on their goodwill. If not, then you would have a case, as they will not have been taking the min payment in accordance with the t&cs.

Either way - you've got to start checking your statements more than once every year or two.

grumbler

JaneBundy wrote: »

...apparently ...the default charge should have been paid manually...
A Manager is ringing me back today, so any advice will be greatly appreciated.

Ask the manager to show where the T&C say this.