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  • FIRST POST
    • seatbeltnoob
    • By seatbeltnoob 4th Mar 18, 2:42 PM
    • 446Posts
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    seatbeltnoob
    close out credit card by 13 refund due
    • #1
    • 4th Mar 18, 2:42 PM
    close out credit card by 13 refund due 4th Mar 18 at 2:42 PM
    I have a tesco credit card with a -13 balance. I am owed a refund by a retailer which is taking their sweet !!! time to process it, the refund is exactly 13. A statement is generated 9th of the month. It looks like it wont be paid before the statement is produced.

    I want to close this account down, I would need to have a 0 balance on this by 9th. Then the final interest will be charged and then I pay off the interest and can close the account.

    I'm not sure what steps to take in order to end up with the account closed the quickest. Should I pay the 13 and bring the balance up to 0, or leave it on -13.

    I am worried that if I pay in the 13 then I will be left with a credit balance which then I will need to spend accurately to bring it back down to 0. Which will elongate the process.


    What are the best steps?


    interest is definitely due on this as I have had balances crossing over statement dates


    Is it possible to close the credit card account when it is in credit and have them send a bank transfer or cheque to my address?
    Last edited by seatbeltnoob; 04-03-2018 at 2:45 PM.
Page 1
    • chattychappy
    • By chattychappy 4th Mar 18, 2:49 PM
    • 6,763 Posts
    • 3,658 Thanks
    chattychappy
    • #2
    • 4th Mar 18, 2:49 PM
    • #2
    • 4th Mar 18, 2:49 PM
    I would pay the 13 now. Is there any reason why you want to close this account so quickly?

    Anyway, once the refund has gone through, then just spend on it. Say you spend 18, then simply pay the balance of 5 on the next statement and that will be it. There may be some trailing interest in there to add to the balance.

    OR, as you say, you can get them to send a cheque. But that all seems like more hassle to me.
    • chattychappy
    • By chattychappy 4th Mar 18, 2:50 PM
    • 6,763 Posts
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    chattychappy
    • #3
    • 4th Mar 18, 2:50 PM
    • #3
    • 4th Mar 18, 2:50 PM
    Oh and don't forget any subscriptions, regular payments etc. You should contact the merchants with alternative payment details. You can also cancel via Tesco.
    • nic_c
    • By nic_c 4th Mar 18, 2:52 PM
    • 1,447 Posts
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    nic_c
    • #4
    • 4th Mar 18, 2:52 PM
    • #4
    • 4th Mar 18, 2:52 PM
    I am confused, you say you are owed a refund as if its a positive overpayment, or if this a refund on something that you have bought and returned? Since you say should you pay it, then I'm assuming the latter. Do you have a DD set up.

    If you are due a refund that will clear the balance then it depends on when this gets refunded and when your payment deadline is. If worried, pay the 13 and when you close it they will refund any overpayment. Is there a reason why the a/c has to be closed by a certain date?
    • seatbeltnoob
    • By seatbeltnoob 4th Mar 18, 2:56 PM
    • 446 Posts
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    seatbeltnoob
    • #5
    • 4th Mar 18, 2:56 PM
    • #5
    • 4th Mar 18, 2:56 PM
    there's no real rush to get the account closed. Just my personal preference really.
    • seatbeltnoob
    • By seatbeltnoob 4th Mar 18, 2:59 PM
    • 446 Posts
    • 107 Thanks
    seatbeltnoob
    • #6
    • 4th Mar 18, 2:59 PM
    • #6
    • 4th Mar 18, 2:59 PM
    I am confused, you say you are owed a refund as if its a positive overpayment, or if this a refund on something that you have bought and returned? Since you say should you pay it, then I'm assuming the latter. Do you have a DD set up.

    If you are due a refund that will clear the balance then it depends on when this gets refunded and when your payment deadline is. If worried, pay the 13 and when you close it they will refund any overpayment. Is there a reason why the a/c has to be closed by a certain date?
    Originally posted by nic_c

    i owe the credit card 13. and a retailer owes me 13 [onto the credit card account] for a returned/cancelled order.


    It currently stands -13. The statement date is 9th March, retailer probably wont refund me by then.
    • Emily Joy
    • By Emily Joy 4th Mar 18, 3:07 PM
    • 105 Posts
    • 51 Thanks
    Emily Joy
    • #7
    • 4th Mar 18, 3:07 PM
    • #7
    • 4th Mar 18, 3:07 PM
    It's better not to do anything right now. Wait for the statement. The day after the retailer process the refund and your card shows 0 balance call the number on the back of the card and state that you would like to close the account. Don't forget to ask for a written confirmation that the CC account is closed.
    • bengal-stripe
    • By bengal-stripe 4th Mar 18, 4:10 PM
    • 3,192 Posts
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    bengal-stripe
    • #8
    • 4th Mar 18, 4:10 PM
    • #8
    • 4th Mar 18, 4:10 PM
    It's better not to do anything right now. Wait for the statement.
    Originally posted by Emily Joy
    Not a very clever idea.

    You will be charged 12 for being over the limit in the next statement. You might be able to persuade the card to cancel the charge. If you're still over the limit in the next billing period (starting 10/03), you'll be charged another 12 quid. Whether you can get the card to drop two charges is rather doubtful.
    • seatbeltnoob
    • By seatbeltnoob 4th Mar 18, 4:16 PM
    • 446 Posts
    • 107 Thanks
    seatbeltnoob
    • #9
    • 4th Mar 18, 4:16 PM
    • #9
    • 4th Mar 18, 4:16 PM
    Not a very clever idea.

    You will be charged 12 for being over the limit in the next statement. You might be able to persuade the card to cancel the charge. If you're still over the limit in the next billing period (starting 10/03), you'll be charged another 12 quid. Whether you can get the card to drop two charges is rather doubtful.
    Originally posted by bengal-stripe

    over the limit? i think you misread everything
    • chattychappy
    • By chattychappy 4th Mar 18, 5:29 PM
    • 6,763 Posts
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    chattychappy
    It's better not to do anything right now. Wait for the statement. The day after the retailer process the refund and your card shows 0 balance call the number on the back of the card and state that you would like to close the account. Don't forget to ask for a written confirmation that the CC account is closed.
    Originally posted by Emily Joy
    The problem with that is that if the refund doesn't come through in time, the OP could get a late payment fee plus a negative report to the CRA(s).
    • seatbeltnoob
    • By seatbeltnoob 4th Mar 18, 5:52 PM
    • 446 Posts
    • 107 Thanks
    seatbeltnoob
    there's been about 800 paid already this month. Stopped short of the 13 as I am expecting a refund. Should not get any late fees or penalties.

    I do want to mitigate the interest though
    • Emily Joy
    • By Emily Joy 4th Mar 18, 7:21 PM
    • 105 Posts
    • 51 Thanks
    Emily Joy
    there's been about 800 paid already this month. Stopped short of the 13 as I am expecting a refund. Should not get any late fees or penalties.

    I do want to mitigate the interest though
    Originally posted by seatbeltnoob
    It was a misunderstanding on my part then. I thought you are expecting a statement showing 13 due closer to the end of March and assumed the last statement balance was paid in full.

    Am I correct thinking that your last statement was showing balance of X and you paid (X - 13)?

    In this case it is better to pay 13, if there is any debit balance in the end you can get it refunded by calling Customer Service - but don't attempt to withdraw it - that will count as a cash advance. The refund won't take more than 3 business days to process.
    • molerat
    • By molerat 4th Mar 18, 7:41 PM
    • 18,570 Posts
    • 12,725 Thanks
    molerat
    there's been about 800 paid already this month. Stopped short of the 13 as I am expecting a refund. Should not get any late fees or penalties.

    I do want to mitigate the interest though
    Originally posted by seatbeltnoob
    By not paying that 13 you will pay interest on everything you have purchased since the previous statement, depending on your card that 13 refund may not count as a payment. You are making life hard for yourself. Pay the 13 now then spend 13 once you get the refund.
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    • J B
    • By J B 4th Mar 18, 8:53 PM
    • 2,724 Posts
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    J B
    there's no real rush to get the account closed. Just my personal preference really.
    Originally posted by seatbeltnoob
    In that case, why not take a chill pill wait till the refund has appeared, spend more than the refund, pay off in full.

    Job's done.

    • Ben8282
    • By Ben8282 4th Mar 18, 9:32 PM
    • 2,281 Posts
    • 1,016 Thanks
    Ben8282
    If you want to close this account, you should really stop using it and start using the card that you will be using in future when this account is closed..
    Stop using the card, wait for a nil statement, ensure that nothing further is pending (purchase or refund) then close it.
    Anything else can lead to unnecessary complications.
    • chattychappy
    • By chattychappy 5th Mar 18, 8:53 AM
    • 6,763 Posts
    • 3,658 Thanks
    chattychappy
    If you want to close this account, you should really stop using it and start using the card that you will be using in future when this account is closed..
    Stop using the card, wait for a nil statement, ensure that nothing further is pending (purchase or refund) then close it.
    Anything else can lead to unnecessary complications.
    Originally posted by Ben8282
    Normally, yes. But in this case a final "nil statement" will never come if the OP pays the 13 - eventually the refund will leave the account 13 in credit. If the OP does not pay the 13, there could be interest and potentially late payment fees (if another statement cycle starts).

    I do think the simplest way is to pay the 13. When the refund goes through, make a single purchase of at least 13, get the statement showing the difference, then pay off that. Then we're zero.
    • Emily Joy
    • By Emily Joy 5th Mar 18, 10:08 AM
    • 105 Posts
    • 51 Thanks
    Emily Joy
    I do think the simplest way is to pay the 13. When the refund goes through, make a single purchase of at least 13, get the statement showing the difference, then pay off that. Then we're zero.
    Originally posted by chattychappy
    What's wrong with getting a refund rather than looking for something to spend 13 on?
    • nic_c
    • By nic_c 5th Mar 18, 12:25 PM
    • 1,447 Posts
    • 792 Thanks
    nic_c
    What's wrong with getting a refund rather than looking for something to spend 13 on?
    Originally posted by Emily Joy
    It depends how they issue refunds. If a DD has been set up they may do a bank transfer. Will they do the same or send a cheque?
    • Emily Joy
    • By Emily Joy 5th Mar 18, 1:42 PM
    • 105 Posts
    • 51 Thanks
    Emily Joy
    It depends how they issue refunds. If a DD has been set up they may do a bank transfer. Will they do the same or send a cheque?
    Originally posted by nic_c
    In my experience a DD was set up and the refund was issued via a bank transfer.
    • chattychappy
    • By chattychappy 6th Mar 18, 8:31 AM
    • 6,763 Posts
    • 3,658 Thanks
    chattychappy
    What's wrong with getting a refund rather than looking for something to spend 13 on?
    Originally posted by Emily Joy
    Nothing. But the latter is easier. You don't need to "look for" something costing 13. Just put your normal spend through until you have spent at least 13. Then pay off (any) small balance on the next statement.

    Personally I'd find that easier than dealing with call centres and potentially waiting for a cheque in the post which I have to go to a bank to pay in. Granted refund by bank transfer would be easier if they do that way.
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