Credit card payments and interest - how does it work?

Nebulous2

skea56 wrote: »

Insurance came out on 26th March,payment was due by 2nd-DD of £36 came out on 2nd. £200 payment came out on 3rd.

To me,the purchase has been paid off in full And then some?

Sk56

Check the allocation of payments from your credit card conditions, but I don't think so.

It is likely that the payment on the 3rd went to pay off the 0% balance, as the £200 insurance payment would not yet have hit your statement. Generally statemented items are paid first.

molerat

Tesco will pay off statemented items first so as it had not appeared on a statement .........

This is why you need to understand the T&Cs of your particular card as they are all different, MBNA for instance would have paid off the un-statemented purchase first as long as it was a cleared item.