Question about no activity

[KingAdrock]

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@DonDraper wrote:

Bank of America just hit me for $1.50 in interest, even though I only charged $54, paid it in full two days later (3 weeks before the statement cut), and the only other balance on my account was a 0% balance transfer of $700. I've pretty much always carried a zero balance, except for this 0% BT the last few months.

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That sounds like something you need to call about and complain to a CSR. 2 days is obviously within the grace period, and under the new laws they have to apply your payment to the charges with the highest interest. You should not owe any interest.

[ChesterPDexter]

Yes, I would have to understand exactly how they arrived at the interest charge.  Unless there is something I don't understand, I don't see where interest should have been charged at all.  Call and make someone explain it to you (then explain it to us.)

[DonDraper]

I have to wait until lunch to be able to make this kind of personal call, but here are as many details as I can give:

Statement period began 12/7; Due date 1/5

Beginning balance $855, all a 0% balance transfer

Charged $54 12/9 Posted 12/10

Paid $54 in full, plus $55 of the $855 BT (total payment $109) 12/12

Left with balance of $800

Paid autopay of $100 on 1/1

Left with balance on 0% BT of $700

Statement cut 1/8, charged $1.50 "Minimum interest fee" for a balance of $701.50

Considering there were no balances subject to interest in this statement period, there really should have been no interest charges... "minimum" or not. So essentailly, they plan to charge me a $1.50 fee for every 50 bucks I spend, every time I use the card, even though I PIF immediately?! That makes First Premier look good!

[DonDraper]

Customer service rep was dumbfounded (as they all seem to be). She saw no reason why interest should have been charged, and waived it. For this month, anyway. We'll see what happens if/when I use the card again.

[DonDraper]

Just wanted to update on this, for those who wanted to know.

Spoke to someone at BoA who actually knew what they were talking about. Apparently once you have ANY kind of balance on the account--even just a 0% BT--a minimum $1.50 interest will ALWAYS be charged on a  purchase, even if it's for a dollar and is paid off the next day, and you carry no purchase balance through to the next statement period.

Essentially what this means is that even a zero balance will incur a fee every single time you use the card for as long as the BT remains on the account. So yes, it is now cost-prohibitive to use this card at all, and it will become closely acqualnted with my socks until the BT is paid off in August... although I might have to use it once or twice to keep it active, and just eat the buck-fifty.