Watch out for minimum payment deduction


I’m someone who pays off my credit card balance every month or so I thought. A late review of a backlog of monthly statement details has shown I was still paying interest on each month’s balance due. This is with Barclaycard Platinum visa. Now at the top of each statement, it clearly states “We will collect your direct debit payment on “date stated” or immediately after.

I have a direct debit to pay the minimum sum and I always paid the whole monthly credit balance MINUS the minimum sum as soon as I received the statement. Big mistake. They then do not make the direct debit deduction if I pay any amount greater than the minimum sum before that due date. This is despite the affirmative statement that they will deduct the money. I have complained and they are refunding all my interest payments and I will in future make the full payment on receipt of statement. My Tesco credit card takes the minimum payment by direct debit regardless of what or when I pay in before the due date. They used to have the same system as Barclaycard until I complained many years ago and to my surprise Tesco altered their whole payment system as a result of my complaint. I have asked Barclaycard to at least amend the wording on their statement so as not to confuse others. So do check your statements for this potential anomaly. So different cards use different criteria when deducting minimum payment via direct debit.


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