£12 over limit fee for going 73p over for 2 days

RG2015

EarthBoy said:

RG2015 said:

I do not setup a direct debit because NatWest take this 10 days earlier than the due date.

Really? Are they the only bank to do that? Lloyds, Halifax, Barclays, Nationwide, HSBC, and First Direct have only ever taken my payments on the due date.

I have just checked and they appear to have changed DDs for all variations to 25 days from statement.

" If you elect to pay the minimum, minimum payment plus, fixed or full amount with Direct Debit, the money will come out of your account 25 calendar days from the statement date, or shortly afterwards."

I posted on this 5 or 6 years ago, when this was the case. I will see if I can find the thread and inset a link.

Thanks for your post as I will now re-examine my payment method.

RG2015

Here is a link to the 15 day from statement date.

"Direct debit

Minimum payment - payment is claimed 25 calendar days from statement date or shortly afterwards

Full payment - payment is claimed 15 calendar days from statement date or shortly afterwards"

https://supportcentre.natwest.com/Searchable/913255502/How-long-does-it-take-to-make-a-payment-to-my-credit-card.htm

And here is a link to the alternative payment date I quoted in my previous post.

(for this you need to click on "Paying with direct debit  +  Scheduling direct debit payments")

https://www.natwest.com/credit-cards/existing-customers.html

LaHostessAvecLaMostess

EarthBoy said:

RG2015 said:

I do not setup a direct debit because NatWest take this 10 days earlier than the due date.

Really? Are they the only bank to do that? Lloyds, Halifax, Barclays, Nationwide, HSBC, and First Direct have only ever taken my payments on the due date.

Some take full payments earlier than the due date, but minimum payments on the due date.

Amex certain do as do a few others from memory.

EarthBoy

LaHostessAvecLaMostess said:

EarthBoy said:

RG2015 said:

I do not setup a direct debit because NatWest take this 10 days earlier than the due date.

Really? Are they the only bank to do that? Lloyds, Halifax, Barclays, Nationwide, HSBC, and First Direct have only ever taken my payments on the due date.

Some take full payments earlier than the due date, but minimum payments on the due date.

Amex certain do as do a few others from memory.

I pay the full payment on all of mine, and none of them have ever taken it before the due date. I'm only glad I don't have a NatWest or Amex credit card. 

radoslaff

EarthBoy said:

LaHostessAvecLaMostess said:

EarthBoy said:

RG2015 said:

I do not setup a direct debit because NatWest take this 10 days earlier than the due date.

Really? Are they the only bank to do that? Lloyds, Halifax, Barclays, Nationwide, HSBC, and First Direct have only ever taken my payments on the due date.

Some take full payments earlier than the due date, but minimum payments on the due date.

Amex certain do as do a few others from memory.

I pay the full payment on all of mine, and none of them have ever taken it before the due date. I'm only glad I don't have a NatWest or Amex credit card. 

I have two NatWest CCs. One of them I pay in full every month and the other one is a balance transfer CC and on that I pay just above the minimum payment. They both take the DDs on the due date. And I have multiple other CCs. All of them take the DD on the due date or on the first working day after. The only CC that I know that takes DDs earlier is from Tesco.

RG2015

radoslaff said:

EarthBoy said:

LaHostessAvecLaMostess said:

EarthBoy said:

RG2015 said:

I do not setup a direct debit because NatWest take this 10 days earlier than the due date.

Really? Are they the only bank to do that? Lloyds, Halifax, Barclays, Nationwide, HSBC, and First Direct have only ever taken my payments on the due date.

Some take full payments earlier than the due date, but minimum payments on the due date.

Amex certain do as do a few others from memory.

I pay the full payment on all of mine, and none of them have ever taken it before the due date. I'm only glad I don't have a NatWest or Amex credit card. 

I have two NatWest CCs. One of them I pay in full every month and the other one is a balance transfer CC and on that I pay just above the minimum payment. They both take the DDs on the due date. And I have multiple other CCs. All of them take the DD on the due date or on the first working day after. The only CC that I know that takes DDs earlier is from Tesco.

@radoslaff

Thank you for this. NatWest have contradictory information on their website so it is good to know that they are on 25 days.

penners324

Why not set the Statement date on the NatWest cc so the DD comes out the day after you get paid?

moneymoner

FaceHead said:

As above, I miscalculated the credit available on a card, which pushed it 73p over it's limit after buying a few things. 

Two days later I saw this land on the statement and hastily put a payment on the card to bring it back into it's limit. 

I've now been slapped with a £12 over limit fee. 

Seems quite disproportionate to going pence over. Is it worth asking the provider to be a bit more forgiving with this, or is message that they have to earn a living somehow, SoBe more careful in future? 

This has happened to me on several occasions when small micro-payments from services like PayPal and Ebay etc.. have pushed my credit balance over the limit by a few pence. What makes this unusual is that if I ever attempt to purchase anything using my debit card which exceeds my account balance, the purchase is declined at the checkout.

Why can't these credit cards be frozen and the purchase limit applied before making a purchase that would exceed the agreed limit that you applied for ?

It is not you that has gone over the credit limit, it is the credit card issuer who has allowed you to exceed the limit and borrowed you more than you agreed to. Not only that, a fee that is disproportionate to the amount exceeded is being applied without any kind of buffer.

I have never missed a payment on my credit cards but at the same time I rely on the fact that I have a limit and that limit protects me from falling into spiralling debt. The credit card issuers are using these overlimit fee's to make a gain and rely on the fact that some people are not always going to know their exact balance on the day of purchasing something with the card.

eskbanker

moneymoner said:

This has happened to me on several occasions when small micro-payments from services like PayPal and Ebay etc.. have pushed my credit balance over the limit by a few pence. What makes this unusual is that if I ever attempt to purchase anything using my debit card which exceeds my account balance, the purchase is declined at the checkout.

Why can't these credit cards be frozen and the purchase limit applied before making a purchase that would exceed the agreed limit that you applied for ?

Banks used to be allowed to impose differential charging for arranged and unarranged overdrafts but when this was prohibited, they largely introduced controls to decline transactions that would exceed arranged limits, and with the vast majority of transactions now authorising online, it became viable to do this.

The same techniques can be used for credit cards but hasn't been implemented as widely.

moneymoner said:
It is not you that has gone over the credit limit, it is the credit card issuer who has allowed you to exceed the limit and borrowed you more than you agreed to.

Er, it very much is you going over the limit in such circumstances!  The fact that the card provider could (usually) prevent it doesn't make it their responsibility to control your spending....

moneymoner

eskbanker said:

Banks used to be allowed to impose differential charging for arranged and unarranged overdrafts but when this was prohibited, they largely introduced controls to decline transactions that would exceed arranged limits, and with the vast majority of transactions now authorising online, it became viable to do this.

The same techniques can be used for credit cards but hasn't been implemented as widely.

moneymoner said:
It is not you that has gone over the credit limit, it is the credit card issuer who has allowed you to exceed the limit and borrowed you more than you agreed to.

Er, it very much is you going over the limit in such circumstances!  The fact that the card provider could (usually) prevent it doesn't make it their responsibility to control your spending....

It is in the credit card provider's interest to endorse and impose a charge for purchases exceeding the credit limit for financial gain. Like you said, many do not deline transactions which would exceed the credit limit.

I can control my spending limit and payemtns very well but it is near impossible know if a transaction would take you £0.01 over the limit. Where the madatory requirement to have a credit card on file for most online accounts and the variation in dates of micro-payments taken from a stored credit cards is not possible to predict. Some banks do not even take a card payment from your account balance until several days later. Stating that someone is irresponsible for allowing their credit card to exceed the limit by £0.73 is just as ridiculous as the the fee's that these credit card providers impose.

I applied for a limit on my credit card and that limit is being increased by the provider when a purchase is made with insufficient funds. If I were paying with cash then the purchase would certainly not proceed as I would easily see I do not have enough funds in my wallet. The credit card provider is being irresponsible here by allowing the transaction to complete and then applying a fee for an unarranged loan.