Charged incorrect interest?

Kw099

I think I have been charged incorrect interest amount but I’m not completely sure. So my balance which was due in November was £277. I mistakenly paid £271. So they charged me interest but the interest is £24 and my annual rate is 30.3%. I’m sure that would make the interest around £7. My new balance which was due in December was £968 but that was paid off in full so I wasn’t charged any interest but to me it seems like they’ve charged the interest on the £968 even though it wasn’t due till December. Sorry if it sounds a bit confusing. Can someone tell me if I’m wrong, I’ve spoke to them several times and they’re refusing to remove the interest charge

molerat

If you do not pay the full statement balance you lose your interest free period until the balance is paid. Carrying that £6 forward means the £968 spend was not interest free.

Kw099

I paid the £6 the next day. So were they still correct in charging me £24?

molerat

Was the £6 credited (not paid !) before the due date on the statement ?

Kw099

No it was credited one day after the due date

Socajam

Kw099 wrote: »

No it was credited one day after the due date

That's the answer to your question.
Due date means, pay the bill before or on the day

chattychappy

molerat wrote: »

If you do not pay the full statement balance you lose your interest free period until the balance is paid. Carrying that £6 forward means the £968 spend was not interest free.

I "potentially" disagree. If you don't pay your statement in full, then you pay interest on those transactions from the purchase date until payment arrives. But for those new purchases which appeared on the next statement - they shouldn't have carried interest if they were payed off in full. (There would, of course, be some trailing interest.)

I say "potentially" because different T+Cs are worded differently and it might be that the OP's T+Cs are as you say. But my limited experience is not that. Ie I have NOT been charged interest on new spend if the full statement balance on which it appears is paid in full.

Perhaps the OP can cut'n'paste or ink to the T+Cs for the card concerned.