Lloyds charging interest question

busiscoming2

Both me and DH have Lloyds credit cards. I don't usually look at them to much and just pay it all off each month before the due date. Realised they are charging us interest. Is this usual if the balance is cleared?

Which other credit cards don't do this?

molerat

If you are paying off the balance in full before the due date then they should not be charging you interest.
You are either :
not paying off the statement balance in full and on time
withdrawing cash
making pseudo cash purchases ie gambling

or they have made a mistake.

[Deleted User]

If you pay in full each month, you don't get charged interest. If you don't clear in full, you need to clear two consecutive months to get back to interest free.

Exceptions are cash and cash type withdrawals.

YorkshireBoy

Their 'Advance' credit cards do not benefit from the usual 'up to xx days' interest free credit, even on purchases.


Maybe you each have those cards?

Ben8282

Its a shame you and your DH don't look at them a bit more or you would have realised this before now.
As others have said, I imagine you have an Advance card which has a low APR but no interest free period. As this card is not intended for people like yourselves who pay in full every month suggest you contact Lloyds and ask to exchange for different type of card.
If you do not hold an Advance card then what molerat said above applies.

busiscoming2

I have the duo Avios cards, DH has an ordinary one. His and mine are separate accounts.

Both get charged interest. Would they make a mistake on both? I think I will speak to someone in the branch and maybe they can shed some light.

YorkshireBoy

For how many months have you been paying interest?

Have you (both!) made any pseudo cash transactions as per molerat's post above?...perhaps foreign currency purchases? Anything that could be termed a 'cash' type transaction?

grumbler

busiscoming2 wrote: »

... Would they make a mistake on both?

Far more likely it's you who kept making some mistake.

I think I will speak to someone in the branch and maybe they can shed some light.

Have a close look at your statements first before wasting time on going to a branch.

All interest is waived if:

• there are no (pseudo-)cash transactions

AND

• the statement balance is paid in full after the statement is issued and before the due date.

Ben8282

busiscoming2 wrote: »

I have the duo Avios cards, DH has an ordinary one. His and mine are separate accounts.

Both get charged interest. Would they make a mistake on both? I think I will speak to someone in the branch and maybe they can shed some light.

It is extremely unlikely that they would make a mistake on both.
Is it possible that you have a 0% balance on these cards and are using them for purchases and then each month just paying off the full amount of the purchases (ie the amount shown as new transactions and charges on your statement) rather than the full statement balance?
That is the only thing I can think of that has not been suggested before. If not, as has been said previously, either you are using the cards for cash advances or other transactions which are treated as cash advances OR you somehow have not paid both your current statement and the previous statement in full by the due date.
As others have asked, how long has this situation actually been going on for now?
Instead of going to the branch why don't you phone them NOW and let us know what they say. They are open 24 hours.

redpete

busiscoming2 wrote: »

I think I will speak to someone in the branch and maybe they can shed some light.

You would get a faster (and probably more accurate) answer if you phoned the CC customer help line.

lee111s

As above, their advanced credit cards charge interest from the day a purchase is made. You don't get the usual interest free period between purchasing and clearing the statement amount.