Interest

amhanna

They are not paid off in the minimum payment with Tesco I have asked

amhanna

Note from my post even if all the other balances are paid off this OTHER balance will still be waiting in the background as it never has any payment put towards it I am not so stupid as to continue spending I'm trying to clear the card not add to it, I thought my explanation was detailed but simple

Ebe_Scrooge

At the simplest level, these "other" items are at a lower rate than the other statemented items.  Since you're only paying a portion of the full balance, the payment is allocated to the highest-rate debt first, so no payment is being made to these.  When all other items are paid off, your payments will start to go towards the "other" items.

As a previous poster mentioned, default charges would usually be paid off first, so they must be something else.  You say you haven't used the card for a long time - are there any CPAs in place that could account for this?

You really need to identify conclusively what these "other" items actually are.

molerat

Anything that increases a balance will be listed in the main body of the statement.

amhanna

I have tried the interest on the other amount is the same as the balance transfer as I said before it was explained they are the default charges I also asked why I'd there is an overpayment can't some of it be out towards other as it is charged at the same interest as balance transfers which is the highest interest again Tesco are as clear as mud

Brie

Ebe_Scrooge said:

Late payments from a few years ago will not, in and of themselves, incur interest.  But the bottom line, for any credit card, is that if you do not clear the balance in full, you'll be charged interest on the full balance (not just the portion remaining).  So if your statement balance is £1000 and you pay £999, you'll be charged interest on £1000 for that month.  Standard practice for any credit card.

I don't know any card that works this way and in fact thought it was against industry practice.

Ebe_Scrooge

Brie said:

Ebe_Scrooge said:

Late payments from a few years ago will not, in and of themselves, incur interest.  But the bottom line, for any credit card, is that if you do not clear the balance in full, you'll be charged interest on the full balance (not just the portion remaining).  So if your statement balance is £1000 and you pay £999, you'll be charged interest on £1000 for that month.  Standard practice for any credit card.

I don't know any card that works this way and in fact thought it was against industry practice.

No, it's absolutely standard for all credit cards.

amhanna

These amounts and interest appear at the bottom of the last page on my statement the overview shows 3 sets of interest And what is left on the full balance and it simply said other which as I have said in my explanation the rep stated was late payments  of which I had 3 as I was in hospital seriously ill in 2019 so not pestering the ombudsman is not out of the question as I would like a more definitive answer from Tesco

Ebe_Scrooge

amhanna said:

I have tried the interest on the other amount is the same as the balance transfer as I said before it was explained they are the default charges I also asked why I'd there is an overpayment can't some of it be out towards other as it is charged at the same interest as balance transfers which is the highest interest again Tesco are as clear as mud

With respect, you're not exactly being very clear yourself.  Payments are allocated in a precise hierarchy, which will be clearly explained on your statement.  I wonder if it would be possible to upload a picture of your statement, with any personal information removed?  We may then be able to offer some more informed advice.

amhanna

Brie I would have assumed interest was only charged on the remaining balance after a payment was made as you said seems very strange