MBNA - Interest charge but don't know why?

Martico

Clive is correct, at least in my expereience. A couple of years ago while I had a BT on Barclaycard that I was slowly paying down, an annual subscription was paid from the card. I paid off the value of the subscription, also covering that month's minimum payment, and avoided any interest. But yes, I think Barclaycard is a generous outlier on this issue.

Superhoopza

CliveOfIndia said:

Superhoop91 said:

Fingerbobs said:

acm90 said:

Fingerbobs said:

It looks like you didn't pay the October statement amount in full. Interest is only waived if the full statement balance is paid by the due date.

Ah so by full do you mean I should have paid the £908.30 even though £840 of this amount is 0% until June 24

Yes, the purchases start attracting interest as soon as they hit your account. That interest is only waived if the entire statement balance is cleared in full, even if a portion of that balance is on a 0% rate.

This is really useful information. I didn't know this and suspect others didn't either.

It's a common pitfall, and one which does catch a lot of people out - one reason why the advice on here is never to make purchases on a card that you've used for a Balance Transfer or Money Transfer.  As per the previous posts, the general rule is that you must clear the entire balance (whatever that balance consists of) every month in order to avoid interest.

I believe (though I'd need to double-check) that Barclays is one of the few that will "separate" spending from BT/MT amounts - allowing you to repay the "spending" each month and not pay interest, even if you've still got a BT on there at 0%.

BIG CAVEAT - if you want to explore this option, please do your own research and make sure you fully understand the T&Cs before going ahead.  As I say, I think this is how it works with Barclays, but please make sure you double-check.

Yeah it is with barclays