Didn't tealize the crdit card interest scam, do you?

YorkshireBoy

Your purchases attract interest (at your simple annual rate/365) each day, and this interest accrues in the background.

If, and only if, you clear your purchases balance by the payment due date, they waive the interest that has already accrued and is waiting to be charged.

YorkshireBoy

eltwins wrote: »

Well they can see that we intended to pay it all off.

How?

But they are offering nothing for goodwill

I'm afraid much of the goodwill previously given (and which I have previously enjoyed having transposed the pence on one of my statements [paid £xxx.24 when amount owed was £xx.42]) has been withdrawn following the mass reclaiming of allegedly unlawful default charges.

So we have cancelled the card and they would rather lose a customer! Speaks volumes.

It was a Virgin Credit Card !

Since Virgin give some of the best existing customer credit card offers around, I wouldn't have closed the account.

Eydon

eltwins wrote: »

Well they can see that we intended to pay it all off.

Not being funny, but how could they see that? Credit card companies are many things but they aren't psychic.

I know you're angry that you've made a mistake, but cancelling the card is a bit drastic. All credit cards operate the same way.

I suppose that if this was your first offence then they could have waived the interest as a gesture of goodwill.

eltwins

Yes, but surely if you owe £350.12 (like we did) and you pay off £343.13, so leaving £6.99 oustanding. Should you not pay interest on that 6.99 back to its transaction date. Not on all your transactions, when you have paid them off.

eltwins

Eydon wrote: »

Not being funny, but how could they see that? Credit card companies are many things but they aren't psychic.

I know you're angry that you've made a mistake, but cancelling the card is a bit drastic. All credit cards operate the same way.

I suppose that if this was your first offence then they could have waived the interest as a gesture of goodwill.

Because:

1. We always pay it off in full.
2. Who would pay off £343.13 of £350.12 and leave £6.99 !
3. That 6.99 is a monthly payment, they can see it always comes from another source.

The woman on the phone agreed with all of this, but would not do anything about this outrageous charge. She was quite rude in fact. That is why we cancelled the card.

The fact is we are not 'good' custoemrs becuase we pay it off each month. They earn nothing from us normally. They don't want customers like that.

NickX

eltwins wrote: »

Yes, but surely if you owe £350.12 (like we did) and you pay off £343.13, so leaving £6.99 oustanding. Should you not pay interest on that 6.99 back to its transaction date. Not on all your transactions, when you have paid them off.

I think it has been explained quite clearly now why this has occurred.

But, the Credit Card company had no way of knowing you intended to pay another £6.99 to clear the balance.

The only thing that you can do is plead with them that it was a genuine mistake, but it sounds like you tried this with no joy, so maybe best to chalk it down to experience.

eltwins

Eydon wrote: »

Yes, but surely if you owe £350.12 (like we did) and you pay off £343.13, so leaving £6.99 oustanding. Should you not pay interest on that 6.99 back to its transaction date. Not on all your transactions, when you have paid them off.[\quote]
No.

When you make a purchase, you are effectively borrowing money from your credit card company from that date. That debt starts to accrue interest on a daily basis, but the credit card company agrees to waive any accrued interest, provided that you pay the full balance by the due date.

Yes, I get what you are saying, abnd I agree that I should pay interest on the 6.99 that we spent. But why are they charging me interest on all £350 worth of purchases from date of transaction?

NickX

eltwins wrote: »

Because:

1. We always pay it off in full.
2. Who would pay off £343.13 of £350.12 and leave £6.99 !
3. That 6.99 is a monthly payment, they can see it always comes from another source.

The woman on the phone agreed with all of this, but would not do anything about this outrageous charge. She was quite rude in fact. That is why we cancelled the card.

The fact is we are not 'good' custoemrs becuase we pay it off each month. They earn nothing from us normally. They don't want customers like that.

Even if you always pay off in full, it is possible that this month you were just short of the cash to do this - can happen to the best of us.

If the £6.99 is a monthly payment, can you go back to the source of this payment and complain that it has caused you to be out of pocket on interest charges because they didn't pay on time ? Just a thought.

dmg24

eltwins,

I do think you are overreacting here.

You made a mistake, not Virgin. They charged you £6.38 as a result.

The way you are ranting you would think that they had charged you £638!

Eydon

eltwins wrote: »

Yes, I get what you are saying, abnd I agree that I should pay interest on the 6.99 that we spent. But why are they charging me interest on all £350 worth of purchases from date of transaction?

I give up!