Halifax Clarity Card 'interest'

zagfles

OceanSound wrote: »

Not if you have an M&S credit card. Had £1600 worth of 0% purchases transactions in July statement. In August statement, more 0% purchases + 3 cash transactions (worth £1510).

Those three cash transaction accrued interest of £17.08. See: post #34

You didn't have any unstatemented. zx81 was correct.

zagfles

toshi wrote: »

My case is not exactly same, but this thread helped me understand what would happen to me; Halifax credit card gave me 0% cash transfer with 4.9% interest, I have used this money transfer and paid back immediately (the same amount of the money transfer) with another 0% BT credit card. But I was charged a small interest.

The Purchase has an interest free period, but Money Transfer hasn't, and any payment will be used against Purchase first. As @pochisoldi said, unless you paid in full just after Money transfer is recorded, all remaining amount is treated as money transfer with 4.9 % interest (in my case). Well it is tricky, but still logical. I now understand how system works clearly.

Terms and condition said, if the same interest, the payment against cash transaction is first, in this case, we have to pay only the amount of cash transaction ? I am not sure if this is applicable to your case, but it is very confusing..

It's not confusing if you remember 2 simple rules:

1) Statemented stuff is always paid off before unstatemented.

2) Otherwise the payment order is in your favour - highest interest first & cash before purchases.

OceanSound

zagfles wrote: »

Should be interest on £1527.08 from 24 Aug as the interest will start accruing interest. But even then it makes no sense. They seem to have charged you 6.5 days interest, maybe they charge in half days? Never heard of any bank doing that...

You're correct. interest for £1527.08 for 6.5 days comes to £5.88.

BTW, I may have discovered another bugbear. It won't bankrupt me but still curious the reasons behind it. Let me explain.

My statement of 24 October (October statement) minimum payment was £89.93 and had £0.90 interest. It showed I had paid £757.38 on 27 September. That was for clearing a cash transaction done in the previous statement month for £751.50 (carried out 23 September) + interest in the previous statement month of £5.88.

As I had cleared the cash transaction and interest of £757.38, and had paid over and above the minimum payment, I just paid the £0.90 immediately on 25 October. (even if I paid this on due date it wouldn’t have come to more than £0.02, but I paid It immediately so as not to complicate things down the line)

My 0% purchases offer ended on 25 November. I cleared the balance down from around £3000 to £474.71. So on 24 November when the statement was produced my balance was £474.71. Statement is showing an interest charge for £0.45.

I did the sums and it seems M&S bank has charged me 2 days purchases interest for balance of £474.71. Can anyone tell me how come 2 days?