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Interest on returned items
Lip_Stick
Posts: 2,415 Forumite
Hi all
Just wondering about what's gone on with my catalogue and what people think about the situation.
I ordered a large amount of clothing which came up to about £400. I then returned most of it within the 14 days home approval. One of the items was faulty. I phoned to ask for it to be replaced but when the replacement arrived it was a different style to the original, and the one I wanted was now out of stock.
I owed just over £100 so made a payment of £15. The amount owing now came to around £88. I then receive my statement saying an interest charge of over £14 had been added. :eek: The statement showed all the returned items as well as my payment.
On their website about interest it states:
The calculation will include any goods you've bought in the previous statement period, but it will exclude anything that you've bought and returned.
I queried this and got the reply:
The charge is calculated at 2.843 pence in the £ or 39.9% APR, in accordance with the Terms and Conditions on our website and in the policy pages of your catalogue. It will be calculated from the closing balance on your previous statement.
I replied pointing out the part where it states interest isn't charged on returned items and I received this reply:-
As a gesture of goodwill, I have adjusted the credit charge and an adjustment for £11.12 will be confirmed online within 24 hours.
However, I hope the information I provide will explain why the credit charge of £14.03 was correct.
The charge is calculated from the closing balance on your previous statement which was £381.60. We also calculate the charge on a daily basis from the date of purchase and add it to your outstanding balance. The calculation will include any goods you have bought, but it will exclude anything that you have bought and returned in the previous statement period.
On statement number 51, the credit charge is £2.91 because this is calculated from the previous statement which had a balance of £102.23.
So, what do people think? Should I have been charged interest on the returned goods as I still don't think I should have been, especially on the faulty item, and the one I didn't even order.
Usually I pay off the catalogue before I get charged interest and have never been charged for returned goods before.
TIA for any comments. Hope I've made things clear enough.
Just wondering about what's gone on with my catalogue and what people think about the situation.
I ordered a large amount of clothing which came up to about £400. I then returned most of it within the 14 days home approval. One of the items was faulty. I phoned to ask for it to be replaced but when the replacement arrived it was a different style to the original, and the one I wanted was now out of stock.
I owed just over £100 so made a payment of £15. The amount owing now came to around £88. I then receive my statement saying an interest charge of over £14 had been added. :eek: The statement showed all the returned items as well as my payment.
On their website about interest it states:
The calculation will include any goods you've bought in the previous statement period, but it will exclude anything that you've bought and returned.
I queried this and got the reply:
The charge is calculated at 2.843 pence in the £ or 39.9% APR, in accordance with the Terms and Conditions on our website and in the policy pages of your catalogue. It will be calculated from the closing balance on your previous statement.
I replied pointing out the part where it states interest isn't charged on returned items and I received this reply:-
As a gesture of goodwill, I have adjusted the credit charge and an adjustment for £11.12 will be confirmed online within 24 hours.
However, I hope the information I provide will explain why the credit charge of £14.03 was correct.
The charge is calculated from the closing balance on your previous statement which was £381.60. We also calculate the charge on a daily basis from the date of purchase and add it to your outstanding balance. The calculation will include any goods you have bought, but it will exclude anything that you have bought and returned in the previous statement period.
On statement number 51, the credit charge is £2.91 because this is calculated from the previous statement which had a balance of £102.23.
So, what do people think? Should I have been charged interest on the returned goods as I still don't think I should have been, especially on the faulty item, and the one I didn't even order.
Usually I pay off the catalogue before I get charged interest and have never been charged for returned goods before.
TIA for any comments. Hope I've made things clear enough.
There's a storm coming, Mr Johnson. You and your friends better batten down the hatches, because when it hits, you're all gonna wonder how you ever thought you could live so large and leave so little for the rest of us.
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