Paid off and Closed (supposedly) Credit Card still accrueing interest?

[Alucard]

So I was able to pay off my Capital One credit completely in April (yay!). Only to find out I had a balance at the end of June. After some research I find out it's due to interest for finance charges and purchases that hit me for the last two months? Do these things come retroactive or something or should they stop as soon as you payoff the balance? 

It's also worth noting that I closed the account as soon as I paid it off as I'm not a fan of Capital One's business practices after reading some of the horror stories on here. So these finance charges have been hit against an account that I can't even pull from.

[Anonymous]

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@Alucard wrote:

So I was able to pay off my Capital One credit completely in April (yay!). Only to find out I had a balance at the end of June. After some research I find out it's due to interest for finance charges and purchases that hit me for the last two months? Do these things come retroactive or something or should they stop as soon as you payoff the balance? 

It's also worth noting that I closed the account as soon as I paid it off as I'm not a fan of Capital One's business practices after reading some of the horror stories on here. So these finance charges have been hit against an account that I can't even pull from.

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Sorry that this has occurred.  I would go back to the Terms of Service and read up on how interest is calculated.  Were there charges pending prior to paying off the account?  When I closed my secured card, I went a whole month with charging anything so that when I called in cancel the card, I knew that weren't any additional interest charges that I would be responsible for.  If everything was accounted for and there was an error on Cap 1's part,  then you could file a complaint with CFPB. 

[medicgrrl]

It's trailing interest and occurs when you carry a balance on a card. Did you PIF every month or had you been carrying a balance prior to April?

[rmduhon]

If you'very been carrying a balance then you'll have what's called 'trailing interest' the next month. And even if the card is closed you'll have to pay it (or the minimum if there is one) before the due date or you'll wind up with late fees and possibly a reportable late. You need to pay it asap.