Credit card question (pay, accounts, charge, balance)

[vmaxnc]

Credit cards-I hardly use them, and


the two I do have are set up to Auto pay from my bank so I seldom do more than glance at my statements. This month I was hit with a late fee on one of the cards because the $2 minimum interest charge (which I understand) was added to the minimum payment due, not just to the account balance. When I called they removed the late fee after 15 minutes of discussion. But they told me that any fees and all the interest due on my account is added to the minimum payment, not just added to the account balance, every month.

I've never seen this on any card I've had, for 25+ years. Is this new to all cards?

[KayAnn246]

I have never heard of the interest being added to the minimum payment but I've had credit card accounts were the late payments are added to the minimum due.

Best thing I can recommend is to read your pricing and terms agreement that you received with the card. If you don't have it, request a copy or some banks have them available online. Go to their website and click of the card you have with them and click on pricing and term on the very bottom.

Make sure it is the most recent pricing and term condition because some banks change them often.

Some banks especially big banks like Bank of America or Citibank will change the pricing and terms conditions and send you a letter with your statement. Some customer have caught Bank of America changing terms without sending customer notice.

If you can find the terms and conditions section about the how the fees and interest are applied to your account, see if it says what they claim. If it doesn't call them and tell them. If it does you will be stuck with the fee since you agreed to the terms or was given the option to cancel the account. Hope that helps!

[dragon_fly_12]

I personally have not seen or heard of this either, but I'm fairly new with credit cards myself. Only have been in the CC game recently just to create a credit history.

If you have the ability to log into the account via their website, you should be able to find the terms and conditions of the account. This may not have been an original term, but could have been changed recently (assuming an updated T&C notice was sent to you, it would've been included in a mailed statement).

[MrRational]

I don't auto pay any bills.
I also still insist on paper statements and bills being mailed to me.

I review the statements and bills (rarely an issue)...
then once a month (usually about the 20th) I open the bank website
and do the transfers and payments at one time. It works well.

hth