MBNA Interest Charged

BulletCraig

Six months ago I got an MBNA card with 0% interest on purchases for six months. I made the minimum payment every month until last month, where the total balance was around £1500 and the 0% was due to expire. I paid the full balance on 21st December (due date was the 28th) which is exactly how it is shown on the statement and yet they have charged me around £8 interest after this amount had brought the balance back to £0.

Now I'm not too bothered about paying the £8 but it's the principle of the thing really. Is this correct?

YorkshireBoy

BulletCraig wrote: »

Is this correct?

Yes. MBNA introductory periods always end on a statement date...NOT a payment due date.

You should always ask the provider the exact date, and the best time to do this is during the activation phone call.

BTW, you'll probably find you have a further (residual) interest charge on your next statement...unless you send them a small (say £5) additional payment to place your account in a credit situation which will stop the interest accruing.

BulletCraig

YorkshireBoy wrote: »

Yes. MBNA introductory periods always end on a statement date...NOT a payment due date.

You should always ask the provider the exact date, and the best time to do this is during the activation phone call.

BTW, you'll probably find you have a further (residual) interest charge on your next statement...unless you send them a small (say £5) additional payment to place your account in a credit situation which will stop the interest accruing.

Ah right, that makes more sense then. Although on the statement it said the estimated interest for the next statement if the total balance wasn't cleared would be around £16 so the £8 is a bit confusing.

YorkshireBoy

BulletCraig wrote: »

Although on the statement it said the estimated interest for the next statement if the total balance wasn't cleared would be around £16 so the £8 is a bit confusing.

Yes, you're correct. You need to send them a larger payment (of more than £16). If you intend to spend this money (but not until after your next statement is produced) you can send an even larger payment to make sure you stop the interest accruing. If you've spent on the card since the last statement was produced you'll need to increase the value of the additional payment further.