Tesco Bank Master Card Sting

pqrdef

Herbalus wrote: »

I suspect that any other company will act exactly the same way, so don't worsen your card to spite them, as they are acting under the terms and conditions.

Barclaycard take payments on the due date, either by FP or debit card.

Several other issuers state explicitly what the cut-off time is for FPs on the due date.

When Tesco was RBS really, you could pay by debit card on the due date (I once paid at 11:45 pm).

Any delay is at their end and is their choice. It's not like the money goes on a coach tour of the Mendips or something.

If it was sent by real-time FP, it was sat sitting in their collection account at the bank, but they chose not to be in any hurry in dealing with it.

Firms can process incoming FPs straight away if they want to. You think a bookie would give you any crap about the end of the next working day? They'd want that money on a horse before you changed your mind.

If it's by debit card, they have the authority to collect as soon as they like. If they want to wait, that's up to them. They can wait for 6 months, but they can't say you didn't pay.

The regulator is on to this and they will be stopped, but they'll milk what they can for as long as they can.

abandonded

Buzby wrote: »

Brinkmanship remains a gamble, and you lost!

Never ever thought that by paying on the due date or the day before was brinkmanship.

Gizmo247

Miss-judging the bank's business processes is quite common and they will sting you when you get it wrong. For example, customers were caught out when RBS changed from an allowance to pay a credit card bill payment after a bank holiday to a requirement to pay before.

The banks are fully aware of this and offer you a hook into their business process in the form of a Direct Debit facility. This is for your benefit not their's but many, like yourself, choose to ignore it.

Overpaying to cover part of next month's bill seems alien to me as it negates the interest-free benefit you get from paying the bill in full. Is it perhaps that you are "over-controlling" your finances, concentrating too much on the payment side rather than the budgeting and purchase side?

shortcrust

In my book, paying a credit card bill on the day before the due date is effectively paying it late. Every bill I've ever had has clearly stated that if paying online you should leave 3 to 4 working days.

abandonded

Gizmo247 wrote: »

The banks are fully aware of this and offer you a hook into their business process in the form of a Direct Debit facility. This is for your benefit not their's but many, like yourself, choose to ignore it............Didn't even know about it and so could hardly choose to ignore it.

Overpaying to cover part of next month's bill seems alien to me as it negates the interest-free benefit you get from paying the bill in full........one mans meat?


Is it perhaps that you are "over-controlling" your finances, concentrating too much on the payment side rather than the budgeting and purchase side? ................I am not in a position where I have to control my finances to any great extent.

Thanks guys (and gals) for the very interesting replies to this thread.

abandonded

shortcrust wrote: »

In my book, paying a credit card bill on the day before the due date is effectively paying it late. Every bill I've ever had has clearly stated that if paying online you should leave 3 to 4 working days.

Then your bank must love you especially if, for example, you had bought a car using your credit card. Three or four 3 or 4 days interest at your expense? They would be laughing:j all the way to their own bank!:j

Herbalus

What?

You misunderstand. He's saying that every bill he's had says that online payment has to be three to four working days before the due date. There is no interest if you do this.

And how in the world can you not have heard of a direct debit.

StuC75

But 3/4 days lost on the interest of the money in your own bank is a lot less that the interest that you then pay by paying the bill at the last minute.

The due date, is exactly that, the latest date for the payment to be made and benefit from the interest free. Dont forget that the interest charge will also trail over to the next month since the full balance needs paying month after month to ensure its 'free'..

DD set for Full Balance is the clearest way to avoid this as they credit & request the funds at due date, but then takes days to filter through to the bank account. In the past I noticed this change gave me a 4 extra days from when I would have paid (to clear in time) through to clear in the time and the DD actually leaving my account.

If you paid it becase if fell in line paydays at the end of the month - then request a move in statement \ due date so that your not paying lastminute, then revise your spending habits so you then use to gain the maximum possible Interest free...

so unless you only ever use the card the day after the statement there is always some concession on "how many upto x interest free days" you are getting..

abandonded wrote: »

Then your bank must love you especially if, for example, you had bought a car using your credit card. Three or four 3 or 4 days interest at your expense? They would be laughing:j all the way to their own bank!:j

shortcrust

abandonded wrote: »

Then your bank must love you especially if, for example, you had bought a car using your credit card. Three or four 3 or 4 days interest at your expense? They would be laughing:j all the way to their own bank!:j

A few pence of lost interest on my savings as opposed to a late payment charge of £13? It sounds like your lenders love you more than mine love me!;)

abandonded

Herbalus wrote: »

What?

You misunderstand. He's saying that every bill he's had says that online payment has to be three to four working days before the due date. ............No! You misunderstand what I am saying. In 13 years I have never paid 3 or 4 days before the due date and why should I? Some of the monthly spends amount to several thousand pounds and this money is better in my bank than in Tesco Bank.

And how in the world can you not have heard of a direct debit...................of course I've heard of a direct debit! What I hadn't heard about was a direct debit facility for paying off the full amount of your credit card each month

Perhaps someone will explain how it works.