I set up a direct debit online to pay off the balance on my halifax credit card every month
They have sent me a statement:
DIRECT DEBIT Direct Debit will be amount Direct Debit Payment Date 02/01/09
To Reach Us By 02.01.09
The 'to reach us by' date is same as the direct debit date - will it reach them that day or just be sent on that day?
I pay Halifax CC by DD and they take mine on 24th of the month and my statment shows as payment recieved 24th so I guess when they take the DD they recieve the payment.
Hope this helps.
Breezy ;)
ok thanks Breezy85 (http://forums.moneysavingexpert.com/member.html?u=583555)
Beware - Halifax has just sneakily changed the way my direct debit payments are taken. I may have got a letter about this but frankly one gets so many it is easy to miss. The DD always used to be taken on the due date. I was shocked to find yesterday that my account had gone overdrawn by a significant amount (above my free overdraft limit but still within the authorised limit) and it was because Halifax had taken the DD four days before I was expecting it. I was about to phone them and complain but I dug out my last statement and, sure enough, it says DD Payment date 02/01/09, four days before the due date of 06/01/09. So I now lose four days interest-free credit every month.
I cleared the overdraft before the end of the day, so it probably won't cost me any more, but it is annoying and you really have to be alert to these tricks.
I set up a direct debit online to pay off the balance on my halifax credit card every month
They have sent me a statement:
DIRECT DEBIT Direct Debit will be amount Direct Debit Payment Date 02/01/09
To Reach Us By 02.01.09
The 'to reach us by' date is same as the direct debit date - will it reach them that day or just be sent on that day?
I have an account with them and that's how they do it with me. It works fine. It's because they are taking the money rather than you giving it.
I set up a direct debit online to pay off the balance on my halifax credit card every month
They have sent me a statement:
DIRECT DEBIT Direct Debit will be amount Direct Debit Payment Date 02/01/09
To Reach Us By 02.01.09
The 'to reach us by' date is same as the direct debit date - will it reach them that day or just be sent on that day?
All DD's reach the account the same day they are taken. If the due date falls over a weekend/bank holiday the DD can be taken within 3 days of the due date, that's -/+ 3 days.
It's not a trick kevinG, if you read your statement you'll see that this is the case and it applies to most direct debits, though there are slight differences in the wording used.
All DD's reach the account the same day they are taken. If the due date falls over a weekend/bank holiday the DD can be taken within 3 days of the due date, that's -/+ 3 days.
It's not a trick kevinG, if you read your statement you'll see that this is the case and it applies to most direct debits, though there are slight differences in the wording used.Sorry, not true - they have changed it this month from the way they have always done it in the past. In my case the due date is on a Tuesday and they took the DD on a Friday so none of what you say applies.
I have recently taken up Halifax CC.
My due date was 29th December, so I paid my CC bill on the 27th of december (online), thinking that it would be fine to reach them by 29 December, which was due date.
Imagine my surprise when I saw the late payment fee of 12 levied onto my account.
Well, when I called Halifax, it transpired that I had to pay the bill 3 working days in advance, in order to reach them on time (or, perhaps "reach" is not the right word, they want the money repaid 3 working days in advance, otherwise, they claim they did not get the funds on time and will charge you the late fee, like they charged me.
I was never the late payer, and have an excellent credit rating, so this late fee really annoyed me. But I guess I learnt my lesson, I have to pay my bills earlier (and yes, that does shorten interest free period, but, there is nothing we can do).
But I guess I learnt my lesson, I have to pay my bills earlier (and yes, that does shorten interest free period, but, there is nothing we can do).The maximum number of interest free days will ALWAYS be achieved by paying by direct debit...FACT.
YorkshireBoy,
Does it apply to both payments in full and partial payments?
I assume the maximum interest free days are only given if the full amount owed has been paid by due date (DD or manually). Could you please clarify, thanks!
YorkshireBoy,
Does it apply to both payments in full and partial payments?
I assume the maximum interest free days are only given if the full amount owed has been paid by due date (DD or manually). Could you please clarify, thanks!You don't get any interest free days for a partial payment so I don't think it's relevant.
Thanks, Kevin, that's what I thought, however, I was not aware about this for a long, long time.
For ages I was under the impression that the bank only charges interest on the unpaid portion of the bill (when not paying in full).
I only found out recently that, even if one pays 90% of the bill by due date, they don't only charge him interest on 10% portion, but on the whole amount!!!
Well, I better set up that DD, I have already been stung with 12 for one day late payment because the funds did not reach them on time (yeah, right).
You don't get any interest free days for a partial payment so I don't think it's relevant.
... unless you are on a promotional interest-free period, in which case making the minimum payment by DD works in exactly the same way as making a full payment.
Yes, I am just waiting to see if they are going to withdraw my interest free period (5 months left) because of this late payment.
If they do, I will cancel the card, as I have just been approved Barclays Simplicity 6.8% and I have another two cards at 15.9%, so why bother keeping Halifax if they punish me for one day late (I just don't understand how it takes 3 working days for money to reach them when it is all done online. But, I guess, that's how they make their money...).
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