A few weeks back I wrote about how credit card interest is calculated and charged. I was especially interested in this as I was paying off my Bank of America card (with the 29% APR).
I paid my balance in full (approx. $6,500) via the B of A website on January 22nd, and after speaking with a customer service representative, I determined that I would be charged interest on my previous balance from the closing date of my prior statement (ending January 15th), through the pay-off date, which I assumed was the 22nd.
As of yesterday, the payment had still not been debited from my bank account. I also had no record of said payment because B of A never sent me a confirmation email, nor was it noted on the website.
I called up customer service again and was told that unless I manually select a payment date, it defaults to the due date, in this case February 9th. So, instead of paying a roughly $50 finance charge, I’ll be paying around $200.
Just a word of warning for those of you who are planning on paying off a balance or pay your balances monthly. Keep an eye on issues like this and grace periods.
Additionally, this is what the payment page looks like today:
As today is the 4th, I see that the payment defaults to the 5th. I can only assume it defaulted to the 23rd when I made my payment on the 22nd.
I will definitely be calling them on this.