10-17-2012 10:06 PM
Is this right? I had to take an emergency cash advance against my Chase Freedom. I was charged a $39 cash advance fee immediately. I paid my entire card balance off before the due date. My statement just came out with an interest fee on it. I was under the impression that no interest is charged if paid in full?
Okay so i'm confused. I get that the CA is charged interest immediately without any grace period, but you PIF the entire balance. Shouldn't the balanace at the time you pay it show the full up to date balance?
yes and no. its like with mortgages.
if you get it the 12th of sep they are charging your per diem interest. (the 12th to the 1st of next month)
same with cash advances. its x amount percent from the day you take it out to the day you pay it. even if pif.
so like you said they charged interest because from the day you took it to lets say you pif your whole card in 7 days.
they charge you 7 days worth of interest on the cash advance only.
hope this helps.
edit: missed the last question. and no because they only charge interest on the statement. they cant post per day interest on your transactions.
Dang, so thats messed up. That is, if I understand you correctly.
So, if I log in to my account to pay my bill electorniclly (before the statement cuts), I am only shown the balance as of today minus the interest on the CA cuz they don't daily post that?
So then the statement cuts, and I am shown how much interest has accumulate on that CA?
So, it can basically take two full statements to cut before I am actually done paying of the CA, right?
if you make a payment and pay the ca (say you pif everything on the card)
once they recieve payment thats when they stop charging interest.
it just doesnt post until the statement.
so say you take the ca on the 1st and your statements ends the 21st.
if you pay on the 7th in full and dont use the card the only thing that will show up onn the statement will be the interest.
to my knowledge a ccc cannot double charge interest on interest. but i could be wrong on this.
Okay i get it. So i just won't be able to see what the interest is untill the statement actually cuts.
Lesson I'm learning is stay away from CAs haha
Yup. Like I said, lesson learned. I hope I never have to resort to that again (not that $7 in interest wasn't worth doing it given the circumstances). My gripe is that through ignorance on my part, I now have 2 credit cards reporting a balance, which I have up until now avoided like the plague. Well, water under the bridge. Thanks to all for the guidance!
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