@Uborrow-Upay wrote:
@Anonymous wrote:I have a CC I paid down this month and was going to report $0 balance. Due to CU accounting, interest was tacked on at end of month instead of daily.
Hi, warthog1984!
Just to clarify something here.
Interest charges are always tacked on at the close of the statement period if you're carrying a balance that's not subject to a grace period. The interest is accrued on a daily basis, but it doesn't post to your account until the statement cuts.
The point I'm trying to make is that this is not an error, or something that CUs alone do. It's common practice, and you can expect this with any card.
It usually takes two billing cycles to get an account to report a zero balance once you've carried a balance you're paying interest on. Unless, of course, you can figure out the interest charges in advance of payment, and then "push" an overpayment through your bank to the credit card company.
Hope this clarifies it a bit.
@UBorrow-
The frustrating thing is that I figured I was in the clear since the LoC also with this CU has daily interest tacked on daily, where the CC has daily interest tacked on monthly. Yeah, in the future I'll have to manually estimate the Finance Charge & transfer extra from my savings ahead of time.
