Penalised for paying off card each month by DD

penners324

If your credit limit is £10k then Lloyds won't  let you go above that...

penners324

Why aren't you using a Chase card for 1% instead of only getting 0.5%?

[Deleted User]

penners324 said:

Why aren't you using a Chase card for 1% instead of only getting 0.5%?

Could be doing work expenses so doesn't have the cash in the bank to use debit card?

jamiemacbid

Indeed I have talked to Lloyds (57 minutes on hold I kid you not, all the while being aggravated by hold messages saying "did you know you can contact us online" when actually it turns out there is no way contact lloyds online).

They confirmed that if my monthly DD re-payment is above an undefined amount (mine appears to be £10k) then they instigate this "no more transactions until your monthly DD has cleared". As my credit limit is £15k, this means my card won't work for almost a week if I chose to spend more than £10k in a month, not good from my point of view.

Indeed my card has now been unusable since Sunday 11pm.  It's now Thursday lunchtime.  Seriously unimpressed by this unpublished clearing rule.

Thanks for the suggestion about Chase.  I bank with HSBC whose online offering is pretty mediocre so I dont feel any loyalty to them. I only use Credit cards to earn cash back (which I understand makes me a "Deadbeat") , so perhaps a move to Chase will resolve this!

mgfvvc

jamiemacbid said:
Thanks for the suggestion about Chase.  I bank with HSBC whose online offering is pretty mediocre so I dont feel any loyalty to them. I only use Credit cards to earn cash back (which I understand makes me a "Deadbeat") , so perhaps a move to Chase will resolve this!

If you can pay your Lloyds card by debit card then you should be able to add your Chase debit card cashback to your Lloyds cashback.

daivid

mgfvvc said:

jamiemacbid said:
Thanks for the suggestion about Chase.  I bank with HSBC whose online offering is pretty mediocre so I dont feel any loyalty to them. I only use Credit cards to earn cash back (which I understand makes me a "Deadbeat") , so perhaps a move to Chase will resolve this!

If you can pay your Lloyds card by debit card then you should be able to add your Chase debit card cashback to your Lloyds cashback.

Have you managed to get cashback by paying a credit card with your chase card? Chase list ‘debt repayments’ in the exclusions to the cashback offer so I assume that rules out getting cashback by paying of a CC. https://www.chase.co.uk/gb/en/legal/Cashback-Exclusions/

mgfvvc

daivid said:

Have you managed to get cashback by paying a credit card with your chase card? Chase list ‘debt repayments’ in the exclusions to the cashback offer so I assume that rules out getting cashback by paying of a CC. https://www.chase.co.uk/gb/en/legal/Cashback-Exclusions/

I'd missed that. I have made a payment to a credit card today and I will be seeing what happens. Given that exclusion it seems unlikely that I will get cashback on it.

zagfles

jamiemacbid said:

Indeed I have talked to Lloyds (57 minutes on hold I kid you not, all the while being aggravated by hold messages saying "did you know you can contact us online" when actually it turns out there is no way contact lloyds online).

They confirmed that if my monthly DD re-payment is above an undefined amount (mine appears to be £10k) then they instigate this "no more transactions until your monthly DD has cleared". As my credit limit is £15k, this means my card won't work for almost a week if I chose to spend more than £10k in a month, not good from my point of view.

Indeed my card has now been unusable since Sunday 11pm.  It's now Thursday lunchtime.  Seriously unimpressed by this unpublished clearing rule.

Thanks for the suggestion about Chase.  I bank with HSBC whose online offering is pretty mediocre so I dont feel any loyalty to them. I only use Credit cards to earn cash back (which I understand makes me a "Deadbeat") , so perhaps a move to Chase will resolve this!

Just to confirm - you do understand that your credit limit is NOT a monthly spending limit, it's a limit on the total amount you owe, including spending since the last statement? 

If you're spending £10k a month and have a £15k credit limit, then you're quite likely to hit your credit limit when it gets towards the DD date, as you'll be owing over a month and a half's spending - ie the full previous statement plus whatever you've spent so far in the current month.

Your credit limit should really be around 2 month's spending, if it's a month and half's then you're going to hit it if your DD comes out 25 days after the statement.

crumpet_man

Should be easy to resolve this issue by making a manual payment mid month. You can make the payment using a debit card or direct from your Lloyds current account.  If you don't have a Lloyds current account you should be able to setup a payment from any current account.  The relevant details will be on your Lloyds credit card statement.

SacredStephan

Why not use an Amex Platinum Cashback card.

Cashback 5% (1st 3 months) followed by 0.75% (up to 10K spend) followed by 1.25% (over 10K).

Annual fee £25.

Use your Lloyds card where the merchant doesn't take Amex.