Wondering why a fee appeared on your statement? It’s always good to understand which kind of activity will result in fees and charges being applicable. To avoid paying back more than you need to, we can help you to understand what the common fees and charges mean.
How do I find out what I’ve been charged for?
The fees and charges may vary, depending on the card type. The more you know about how fees are charged, the better position you’ll be in to keep them to a minimum.
Some examples of common credit card fees and how to minimise them:
|Type of fee
|How do I avoid this fee?
|Is interest accrued on this fee?
|Payment handling fee
|Paper statement fee
Looking for more information? Here you can find things you should know about how to reduce interest.
What is interest?
Interest is a charge that accrues over time and is calculated by applying a rate to the unpaid balance under a contract. This means that you need to pay a percentage of your balance for borrowing money.
What if I pay my account in full every month?
You will continue to avoid interest on the account balance (excluding Cash Advances and Balance Transfers) by paying in full every month by the due date.
What happens if I miss a payment?
If you miss a payment you will be charged:
- Interest that was deferred from the previous months’ new transactions;
- Interest that has accrued on the balance for this month;
- A late fee will be applied to the account;
- These interest charges will appear on the statement for the period where you miss a payment;
- When you again pay in full, you will be charged interest up until the date your payment is made.
What do I need to do to receive the benefit of interest free days again?
You need to pay your account in full by the due date for the next month.
Why do I get charged interest in the second month?
To receive interest free days on any purchase, you must:
- Have paid your previous statement in full and on time; and
- Pay the statement on which the purchase appears in full and on time.
If you have paid your previous statement in full, then interest on the new transactions of your current statement period will be deferred.
If you do not pay your current statement in full, the deferred interest will be charged to your account as well as interest accrued on the balance for the month.
What do you mean by finalised?
Credit card purchases have two stages:
- Authorisation: when your card is swiped at the register, the register (or EFTPOS machine) runs a check to make sure you have enough available credit for the purchase.
- Finalised (posted): at the end of the trading day, the store will start the process to finalise the purchase. This process can take a few days. When a purchase is finalised, we receive the full details from the store, and it becomes a charge on the account. Finalised purchases appear on your statement.
What type of transactions will interest be charged on?
- Cash balances
- Retails balances not paid in full in the last 2 cycles
- Expired promotions
- Instalment interest bearing promotions
- Balance transfers
How can I reduce interest?
To reduce the interest billed on your next statement, you need to pay your monthly minimum payment along with any remaining interest-bearing balances.
What if I can’t afford to pay my credit card?
If you’re having trouble to make your credit card repayments, have a look at our hardship care and financial difficulty information to find out how we can help – Do you need some help with Hardship Care?
Learn more about our range of credit cards: