Aqua direct debit date - concerned

wideboy09

I recently got a Aqua card with a £300 limit, I plan to pay off in full via direct debit every month to improve credit file.

My ststement was issued on the 17/6/16 for the sum of £64. I assumed my direct debit payment would be taken a day or two after so I would have the full £300 available credit for the next month.

Instead it comes out a whole 17 days after the statement was issued, just a day or two before the a actual due date. Not only do I feel this is cutting it fine but my "current balance" is building up so I've got to make the £300 last a month + 17 days so around 47 instead of 30 for example.

bengal-stripe

The DD for any Credit Card is always taken on, or just before, the 'payment due' date.

You can set-up a DD just for the minimum (to make sure you don't miss the payment) and pay the balance by bank transfer immediately after the new statement has been compiled, that will give you more spending 'headroom'.

Check how Aqua operates, some cards will cancel the DD if a larger payment has been received, others will take the DD regardless.

wideboy09

So can I keep my direct debit as pay in full but still pay off my balance as a one off payment once I get my statement?

I think I would feel more comfortable if my credit limit was higher, anybody know roughly how long before I can ask for an increase?

[Deleted User]

Give it at least 3 months, 6 would be better. Aqua cards are designed for people who need to take it slow with credit.

ged1980

As said aqua will not take the DD if you have payed more than the amount before DD date.

I would not ask for a increase as it is a new card, If you use card well make payments ect they will contact you about a increase, I got my first increase this week after having card 5 months from 300 to 1200.

onthefencepost

Please ensure you pay the card of in full as the interest rate it something out of space on this card. I've got this card and ive had a good credit limit increase. I only use it for day to day expenses which i otherwise would have paid with my debt.

I recently applied for a Tesco Foundation card and got accepted immediately with a credit limit of £250 now that i have two credit cards i'm happy to keep these well managed and build my credit history back up. Just a note the Tesco interest rate is much better so might be worth applying to Tesco for a card after 12 months?

Anthorn

In my experience the DD is used on the day the payment is due. So if it fails the payment is missing or is paid late incurring the £12 fee. That's why I make full payment manually and have a DD for the minimum payment as a safety net.

bigadaj

Anthorn wrote: »

In my experience the DD is used on the day the payment is due. So if it fails the payment is missing or is paid late incurring the £12 fee. That's why I make full payment manually and have a DD for the minimum payment as a safety net.

So long as the direct debit is set up and active then you are covered by the direct guarantee, which means if they fail to take it you will not incur interest and it won't be reported as a late or missed payment.

The actual payment can be taken a few days before or even after the due date, Amex is over a week before which is a bit of a pain.

Aquamania

bigadaj wrote: »

So long as the direct debit is set up and active then you are covered by the direct guarantee, which means if they fail to take it you will not incur interest and it won't be reported as a late or missed payment.

The actual payment can be taken a few days before or even after the due date, Amex is over a week before which is a bit of a pain.

Which part of the direct debit guarantee covers interest being charged to 3rd party contracts? :huh:

I guess consequential loss could apply, but (a) the customer would need to prove the loss and (b) the bank are not obligated to refund consquential losses immediately, but rather rely on the supplier first refunding the bank (which should be within 14 days)

It would be difficult, as once interest starts to accrue, then you also get hit with interest the next month where credit cards are concerned.

I would suggest in the unlikley event a direct debit collection is failed to be made in sufficient time caused by the credit card company, the customer makes a complaint direct to the credit card company to reverse/waive the interest charges at source.

But I think what Anthorn is really referring to when describing a failed collection is one that fails because the payer does not have sufficient cleared funds (or planned overdraft) in place to cover the cost of the DD payment.

I'm not sure what you exactly mean with regards to DD collection date. Perhaps you mean different credit card suppliers have different policies as to when they set the collection date? If so, I wouldn't disagree.
However, anyone collecting by DD must give proper advance notice that will spell out the date the collection will occur; collection may NOT occur before stated date, but may occur within 3 working days after the specified date (although in practise, it usually is collected on the specified date or the first working day thereafter where the specified date is a non working day)

bigadaj

Aquamania wrote: »

Which part of the direct debit guarantee covers interest being charged to 3rd party contracts? :huh:

I guess consequential loss could apply, but (a) the customer would need to prove the loss and (b) the bank are not obligated to refund consquential losses immediately, but rather rely on the supplier first refunding the bank (which should be within 14 days)

It would be difficult, as once interest starts to accrue, then you also get hit with interest the next month where credit cards are concerned.

I would suggest in the unlikley event a direct debit collection is failed to be made in sufficient time caused by the credit card company, the customer makes a complaint direct to the credit card company to reverse/waive the interest charges at source.

But I think what Anthorn is really referring to when describing a failed collection is one that fails because the payer does not have sufficient cleared funds (or planned overdraft) in place to cover the cost of the DD payment.

I'm not sure what you exactly mean with regards to DD collection date. Perhaps you mean different credit card suppliers have different policies as to when they set the collection date? If so, I wouldn't disagree.
However, anyone collecting by DD must give proper advance notice that will spell out the date the collection will occur; collection may NOT occur before stated date, but may occur within 3 working days after the specified date (although in practise, it usually is collected on the specified date or the first working day thereafter where the specified date is a non working day)

How is it a third party contract, you set up a direct debit with the credit card provider. If they fail to take it then you won't, or certainly shouldn't, be charged interest as a result of the failure of the card provider.

There are variations in terms of when the amount is taken, my comment refers to recently having experienced this being dramatically earlier with Amex than any other provider I've dealt with before.

You certainly need cash in your account to pay it, but that should be fairly obvious along the lines of don't buy if it of you can't afford it and don't use credit cards if you can't control your spending.

His suggestion of making full payment manually has caused people on these boards problems historically, as different card prob duets have different rules for this and sometimes the dd is taken in full after a manual payment is made.

wideboy09

I made the manual payment for my statement balance last night on Aqua online and it came up with a message saying the direct debit will not come out my bank account this month