Sainsbury’s credit card - paid full statement balance in advance but they still took money by DD

SpartanMissile

etienneg said:

If you have a DD set up to pay the balance in full, why make any manual payment? Just leave the DD to do its job. People seem intent on complicating things and then complaining when something doesn't go quite as they expected!

😂 Thanks everyone for the non passive aggressive replies. The why is (a) in the original post and (b) really irrelevant. I’m just trying to understand if this practice is normal. 

SpartanMissile

@eskbanker @MrFrugalFever

17/3 Statement generated with balance of £3965.62
20/3 Manual payment of £3965.62 taking account balance to zero
1/4   £126.40 spent in restaurant
3/4   Date of above on statement 
11/4 Direct debit of £126.40 taken
17/4 Next statement generated with above transaction on 

It says on my statement your direct debit will still be taken even if you make additional payments - that’s fine if you have an outstanding balance from previous statements. My query is really about taking payment against transactions before they appear on a monthly statement 

Sarahspangles

SpartanMissile said:

@eskbanker @MrFrugalFever

17/3 Statement generated with balance of £3965.62
20/3 Manual payment of £3965.62 taking account balance to zero
1/4   £126.40 spent in restaurant
3/4   Date of above on statement 
11/4 Direct debit of £126.40 taken
17/4 Next statement generated with above transaction on 

It says on my statement your direct debit will still be taken even if you make additional payments - that’s fine if you have an outstanding balance from previous statements. My query is really about taking payment against transactions before they appear on a monthly statement 

How weird - I’ve never known a credit card company do that.  Their systems have to have a way to cope with people’s card spending in the period after a statement has been generated and before the payment has been taken.

The cards I’m most familiar with are Barclaycard and Nationwide.  Both issue a statement but net off any payment into the account falling after the statement date from the amount eventually billed, whether the payment is from the cardholder or a refund for returns.  In your case the card provider has taken more than your statement.

OH has just closed an ‘instant access’ savings account with Sainsbury’s because it wasn’t possible to withdraw funds without phoning them in working hours and then waiting several days.

TadleyBaggie

I was caught by this in a different scenario, statement was produced with a balance of around £1400. I immediately initiated a balance transfer which was completed at least two weeks before the DD was due to go out. Then two weeks later Sainsburys took the full DD amount leaving me around £1400 in credit.

I left the balance on the card and used the normal monthly spending to use up the balance in a couple of months.

Hazzanet

This is at the top of page 2 of my statement... 

Given this, I would have expected the statement balance, i.e. the £3,965.62 to have been taken again, though.  

SpartanMissile

Hazzanet said:

This is at the top of page 2 of my statement... 

Given this, I would have expected the statement balance, i.e. the £3,965.62 to have been taken again, though.  

That seems to be exactly what happened to @TadleyBaggie. Maybe I got off lightly with just £126. 

born_again

SpartanMissile said:

@eskbanker @MrFrugalFever

17/3 Statement generated with balance of £3965.62
20/3 Manual payment of £3965.62 taking account balance to zero
1/4   £126.40 spent in restaurant
3/4   Date of above on statement 
11/4 Direct debit of £126.40 taken
17/4 Next statement generated with above transaction on 

It says on my statement your direct debit will still be taken even if you make additional payments - that’s fine if you have an outstanding balance from previous statements. My query is really about taking payment against transactions before they appear on a monthly statement 

What was the estimated interest on the 17/3 & min payment?

I would ring them & ask why the £126.40 was taken before it was due, as that is not normal practise. Unless it happens to tie in with min payment on statement.

SpartanMissile

@born_again that would be a hell of a coincidence wouldn't it?! The minimum due was £89.23 and I was in a promotional 0% period so no interest was due.

born_again

Thanks 👍️

It would, but stranger things have happened.

I would raise a complaint & get them to explain why they took a payment that was not due till next due date.

Fingerbobs

Lots of people arguing that this is correct and it in the T&Cs for the card, but I disagree. I've never known any cards pull a Direct Debit for an unstatemented transaction, which appears to be what's happened here. 

Some cards reduce the DD amount if interim payments are made, but they shouldn't put the DD up again if there is subsequent spend on the card - that seems wrong.