Halifax Clarity Card

skyman3333

I had a small surprise on my Annual Statement £8.83p interest charges.
I went on Holiday in Italy April 2016 for a week. I used the Card to withdraw cash on two occasions within a four day period. I knew I would be charged for these transactions and the cost was £3.25p.
However, on the Annual Statement received a few days ago, I noticed and extra £5.58?
I phoned Halifax Credit Card Helpline to met with a very vague explanation ( I think he was new to the job) and he offered to send a letter outlining the charges, which is in the post. I then called in at my Branch and they didnt know why the extra charge was made? So I telephoned the Helpline again and spoke to someone more knowledgeable than the last Customer Advisor.. Yes the charges are correct she said and I asked if my payment in full was active ( yes ) why it had not been paid at the end of April.
This is the explanation I was given:-
The extra £5.58 is known as Trailing Interest and is not collected at the end of the payment month but is carried on for another 2 months. I was told it was stated in my T&Cs ( very small print).
So beware folks do not assume you are paying off in full at the end of the month any ATM transactions are earning Halifax Credit Card Company another 2 months interest.

PeacefulWaters

It would have been the same on any credit card with cash transactions.

bigadaj

skyman3333 wrote: »

I had a small surprise on my Annual Statement £8.83p interest charges.
I went on Holiday in Italy April 2016 for a week. I used the Card to withdraw cash on two occasions within a four day period. I knew I would be charged for these transactions and the cost was £3.25p.
However, on the Annual Statement received a few days ago, I noticed and extra £5.58?
I phoned Halifax Credit Card Helpline to met with a very vague explanation ( I think he was new to the job) and he offered to send a letter outlining the charges, which is in the post. I then called in at my Branch and they didnt know why the extra charge was made? So I telephoned the Helpline again and spoke to someone more knowledgeable than the last Customer Advisor.. Yes the charges are correct she said and I asked if my payment in full was active ( yes ) why it had not been paid at the end of April.
This is the explanation I was given:-
The extra £5.58 is known as Trailing Interest and is not collected at the end of the payment month but is carried on for another 2 months. I was told it was stated in my T&Cs ( very small print).
So beware folks do not assume you are paying off in full at the end of the month any ATM transactions are earning Halifax Credit Card Company another 2 months interest.

Better to pay any cash advances as soon as possible, no need to wait for the end of the month or the statement.

SuperHan

Yep - like bigadaj says, advice is always to make an additional payment mid month to cover any cash advances.


The reason is that they charge interest up to the statement date and include this in your "payment in full". But unless you pay on the statement date, there is a small period of time when you are accruing interest that you don't pay off with your direct debit, which hits the following month.


It's quite logical when you think it through.

Fortyfoot

Load the card with a few quid before you go. I do it regularly.

Fortyfoot

ballure

I have a Clarity Card which I've not used for some time as I use mainly my Santander both here and abroad. Do you think I should keep my clarity card - just in case ... as Halifax are about to close it.

[Deleted User]

Depends on what other cards you have.

eDicky

ballure wrote: »

... as Halifax are about to close it.

Who says..?

[Deleted User]

Halifax, I would think.