I got caught out

kidder44

I recently had the June statement for my Abbey credit card. which was coming to the end of its six months interest free period. It said that the balance was £1533.89 and the estimated interest on the next statement would be £20.01 [this was the first statement to show any estimated interest] The payment date was 3rd July, as i was going on holiday i made sure the payment for the whole balance was received in good time.

On getting back from holiday my July statement was waiting for me, it stated that my payment for the full amount £1533.89 was paid on 29th June, but i had incurred an interest charge of £16.26. Apparently the reason for the charge was that the interest free period came to an end on the first of June and I should have paid it in full then. I thought that i still had until the 3rd of July but I was wrong. My early payment meant i paid £16.26 instead of £20.01.

I have now taken out an &more card which i'll make sure i pay in time!!!
I would be intersted to hear any comments

Thanks Kidder44

YorkshireBoy

kidder44 wrote:

I would be intersted to hear any comments

Whenever you begin a relationship with a new card provider, you should compile a list of key information to check off on your activation phone call, such as (but not excusively)...

1. Statement date
2. Payment due date
3. No BT fee confirmed
4. DD set up
5. Name of person you've spoken to
6. Date/time of call (for the benefit of the tape!)

7. DD mandate received (these days you don't have to sign & return if the details are correct)

And finally, you've guessed it, the EXACT date of the end of the 0% offer. This will invariably NOT coincide with a statement/payment due date, and means you will have to make a manual payment as the last payment. It may be better to change the DD to "collect full amount" for the last statement before the 0% expiry date, but this will impact on your stoozing profits.

Edit: Just re-read your post, and...

kidder44 wrote:

Apparently the reason for the charge was that the interest free period came to an end on the first of June and I should have paid it in full then. I thought that i still had until the 3rd of July but I was wrong.

...You were an entire MONTH out!! Normally, people get caught out because the 0% end date is a week before the statement date, they don't normally get caught out because they "think" it's July when in fact it's June! This is very poor management on your behalf. You need to apply these learnings to your future management of CC's.

mary

kidder44 wrote:

I have now taken out an &more card which i'll make sure i pay in time!!!
I would be intersted to hear any comments

Thanks Kidder44

We also have just got & More CC. They don't seem to be able to tell you the date when you activate your card and ask you to ring back in 3 or 4 days time. This happened both to me and my husband in the last month. So don't forget to do it, write it in your diary, if you find they can't tell you immediately.