Virgin MBNA - HOW MUCH!

Batfastard_2

I am currently seething with this bunch. :mad:
I had originally used the card to pay off a transfer, so I was at zero balance prior to this little lot.

I am organising a ski trip, for a group of 8 friends, and booked our Eurostar tickets on this card. As the people paid me, I paid the amounts off the card. Sadly one paid me a couple of days late, and I accrued interest. OK I thought interest on £179, shouldn't be more than a couple of quid. I'll just ask for the interest when we settle the hotel bill.

They are charging over £40 in interest. :eek:
Apparantly if you do not settle the full balance, you are billed interest on everything, including new purchases. I rang the call centre and challenged the interest [1.24% of £1432 is only about £18 after all] and was stone walled "it's calculated automatically" is the response from the operator.

I also used this card to confirm the hotel booking last month, and being a French hotel they billed MBNA in Euro's. I have been charged 2.75% comission.
This is a new one on me, I have never had "comission" charges on using a card abroad before, ever.

This card will be in the bin by this time tomorrow.

Obviously all of their rates are in the small print, but I never read them Who does well me from now on.

So be warned, as soon as you get to nine months chop it up.
The balance will be transfered off this card by close of play today.

Manners prevent me typing what I truly would like to say about MBNA.

grumbler

Batfastard wrote:

Apparantly if you do not settle the full balance, you are billed interest on everything, including new purchases. I rang the call centre and challenged the interest [1.24% of £1432 is only about £18 after all] and was stone walled "it's calculated automatically" is the response from the operator.

If bill has not been paid if full (most of?) all CC companies charge this interest. And not from the date of the next statement, but from the date of transaction. This could be a reason of discrepancy.

I also used this card to confirm the hotel booking last month, and being a French hotel they billed MBNA in Euro's. I have been charged 2.75% comission.
This is a new one on me, I have never had "comission" charges on using a card abroad before, ever.

Only a few cards don't charge currency conversion fee:

The cheapest way to spend overseas: save 6%

The magority of cards charge this fee. I think you was charged too, but the charge was hidden in the exchange rate.

This card will be in the bin by this time tomorrow.

Yes, there are better cards for spending. See links in the blew box above.

Manners prevent me typing what I truly would like to say about MBNA.

Poor MBNA! They don't deserve this. Where is your 'thank you' for 9 months?! And they do have some really good cards.

Clariman

I had some sympathy until I read ....

Obviously all of their rates are in the small print, but I never read them Who does well me from now on.

Always read the Ts & Cs of a contract that you are signing up to. £40 interest is annoying but given that you have had 9 months at 0% you've probably won out of it. I think that you real issue is with your friend who paid you late.

Clariman

Stonk

Sure, the OP should know his T&C's - and indeed it sounds like he did - he knew there would be interest, but what is bothering him is the amount. I can see his point - the interest calculation does appear to be wrong at first glance. Can't say for sure though, without knowing the periods for which balances were outstanding.

Can you post the dates and amounts of the transactions and payments made, and any other transactions in the meantime? Also your interest rate (1.24% per month by the look of it). We'll see if we can find out where this £40 number came from.

Stonk

Clariman wrote:

I think that you real issue is with your friend who paid you late.

But you can't really hold that one friend responsible for the full £40 - the vast majority of the £40 is interest on everyone else's payments. He wasn't to know you'd funded the purchase in such a way as to generate a disproportionate interest liability if he paid a little bit late.

THE_ROCK84

Maybe you shouldnt offer to pay next time.

klondyke

THE_ROCK84 wrote:

Maybe you shouldnt offer to pay next time.

Unless you have a cashback card (but not if it is accruing interest)!

THE_ROCK84

klondyke wrote:

Unless you have a cashback card (but not if it is accruing interest)!

lol, exactly!! Why didnt you just pay out of your own pocket, and then just reclaim it???