Halifax Clarity Card

Gloomendoom wrote: »

I thought that any payment you made automatically paid off the amount that attracts the most interest. Usually cash withdrawals.

My Clarity has the same interest rate for purchases and withdrawals and credits are applied to statemented transactions first.
For simplicity, I just make sure I pay off the statement before travelling.

Gloomendoom wrote: »

I thought that any payment you made automatically paid off the amount that attracts the most interest. Usually cash withdrawals.

Always stuff that's on a statement before stuff that isn't. Except Tandem it seems?

Gloomendoom wrote: »

We have two. We used to spend on one and withdraw on the other. Now, with the Starling account, we tend to spend on the Clarity and withdraw on the Starling.

Although, I must admit that lately I have started to spend more on the Starling too because I like the instant updates it sends to me by phone.

Yes much easier with 2 cards, I got 2 Claritys but now also got the Barclays Travel card which has no immediate interest on foreign cash advances so that's even easier! Just set a DD to pay it in full, and that's it.

Clarity might be slightly better outside Europe as Mastercard are a bit better but it'll be marginal.

zagfles wrote: »

Are you saying Tandem treat payments made by DD differently to manual payments? So for instance the £100 payment above would count towards the cash advance if customer has a full DD, but towards the statement if he hasn't? So presumably they don't reduce the DD if you make a manual payment? Or do they reduce it if you made a manual payment but have no unstatemented cash advances? Or no unstatemented purchases? Or neither/both?

I can't believe they'd allocate manual payments towards unstatemented stuff if the customer has an outstanding statement balance otherwise. Yes, but we on MSE who pay unstatemented cash advances to reduce interest are a tiny minority. The vast majority won't pay off their card till they get their statement, and they'd expect payments to go towards their statement balance.

Now you've got me wondering also. The Tandem agent insisted that my cash advance would be paid off before anything else, and she also mentioned that my DD would be adjusted to pay statemented balance fully regardless of any manual payments (if not paid too close to the DD date of course).

But you have a point for anyone not using a DD, for which there's no provision to set up when applying for an account and can only be done later over the phone. I'll try to check the T&Cs and/or ask them.

zagfles wrote: »

Have you made a cash advance between statement and DD date, with an outstanding statement balance, and worked out how many days interest you've been charged?

I made one, that's why I asked how the payment would be allocated. Paid it three or four days later and would have been able to test what they told me but my DD was taken the next day so couldn't. I share your view of the incompetence of regular bank and card CS staff, but the new 'challenger' or fintech outfits such as Tandem are more likely to get it right in my experience.

Here's her words:
"Hi Richard, the system is set up to pay off any cash withdrawals before the statement balance.
Thanks"
(Me)"...and I have already made a payment of £150 to pay off the withdrawal, on the understanding that this will be allocated to the cash withdrawal before any other part the balance even if already appearing on my statement."
"No problem, your payment would have covered the cash balance and you will still see a small amount of interest in your next statement for the days we charge interest. Our system will ensure that it will request the right direct debit amount to ensure you are still considered a full payer!"