Checking your creditcard statement

You should always check your statement thoroughly every month. Take care to review all of the transactions listed against your receipts. Make sure you can account for all the transactions and that they are all for the correct amount

Disputed transactions

If there’s a problem with goods or services you bought you should fi rst try and resolve it with the retailer. If they can’t or won’t help you – perhaps because they have gone bankrupt – you have extra protections in law when you buy on a credit card.

Under Section 75 of the Consumer Credit Act your credit card company has joint responsibility with the retailer for transactions over £100 in cases where there is a breach of contract or a misrepresentation – so you may be able to get your money back from your credit card company.

Mistakes & fraud
If you spot fraud or a mistake on your statement tell your card company immediately. You will still have to pay for any purchases that are not in dispute but your credit card company will usually freeze the transaction you are questioning. They will refund the actual transaction, and any interest automatically applied to your account, if there has been an error or you have been an innocent victim of fraud. These guarantees are provided by The Banking Code.

Paying off your credit card

Your statement will tell you how you can pay off what you owe, for example using cash, cheque, debit card, telephone or internet banking, and what time you should allow to make sure the payment is received by the due date. This can differ between card issuers so it is worth following the advice carefully.

Your credit card company may also let you set up a direct debit. It’s a good way of making sure that you don’t miss a repayment and avoiding any late payment charges.
However you decide to pay remember to plan ahead to make sure your payment reaches your credit card account by the payment due date.

How much is my card costing me?

Your statement can tell you. The three key things that affect how much your card costs you are:
1. How much you borrow
2. Your interest rate – different kinds of transactions may incur a different rate of interest and you should also check to see when your credit card company starts charging you interest
3. How much you repay and how quickly you repay it

Previous Article: Understanding your Credit Card Statement

Credit card statement

Your statement is your guide to your credit card. It tells you everything you need to know about your account since your last statement, the total amount you owe, any interest owing on what you’ve borrowed and the minimum repayment you have to make that month.
Here we detail some of the common features and terms included on a standard credit card statement. If you require any further explanation about the information contained on your credit card statement or spot any suspicious transactions, please be sure to read the ‘getting help’

Outstanding balance

The outstanding balance tells you how much you owe in total.

Minimum repayment

Most companies insist you make a minimum repayment each month if you owe money. If you only ever make the minimum repayment it will take you longer to pay off your debt and will cost you more – it’s not recommended.

Payment date

This tells you the date by which your payment must be received by your credit card company. It will need to be sent a specific number of working days in advance of the payment due date, depending on what repayment method you use. Your statement will advise you how soon in advance of the payment due date your payment needs to be sent. If you don’t pay at least the minimum amount requested you may incur charges and damage your credit rating.

Your card’s APR

The APR (Annual Percentage Rate) gives you a measure of the total cost of borrowing on your credit card over a year. It can be a good way to compare the prices of different credit cards as generally the lower the APR the less interest you will have to pay.

Interest rates, fees & charges

This shows you the interest rates for different types of borrowing. For example, the interest rate for purchases in a shop may be different from the cost of getting cash out of a cash machine

Previous Article: What is APR: Definition of APR