Credit Card Interest Calculations?

[Barry031261]

Hi,

 

I am in the process of filling in my County Court Claim Form.

 

I have a question regarding the interest calculations that are suggested, i.e. 8%.

 

Surely the 8% rule applies to Bank Accounts that are generally in credit. The 8% is designed to recover the money lost if you were to invest this money for the same period that the banks it.

 

But when a Credit Card Fee hits the account they are effectively charging their rate of say 22-29% on this money for the period that they have it.

 

So, is there a mechanism for recovering the interest charged by the Credit Cards (22-29%) and would the courts acknowledge this? And, if you could, then the 8% should also be claimable on top of this for the reasons of investment interest.

 

What do you think.

 

Baz

[Neo]

There are posts about explaining this.

 

You can claim interest that the bank has applied to your charges, but nothing else.

 

The 8% is only chargeable at court stages and this is the amount they say you could of resonably made if you had of invested it and the bank didn;t have their dirty mits on it.!

[Barry031261]

Hi Adamruston.

 

Yes, I understand the principles applied but if a credit card charges a fee it effectively increases your borrowing and you are paying their interest rates of 22-29% on your money! So even if (sorry, when) the claim is paid in full the credit card company will still have made a substantial profit from interest on your money. They still win effectively!

 

Do you know if an increased interest claim has been tried?

 

Baz

[Neo]

You can claim the interest (in your case 22-29%?) on the charges they have charged you.. that is fine and is seperate from this 8%...

 

Does that help?

[Barry031261]

Thank you for your help.

I will be claiming the additional interest as you suggest.

 

And, wow, good luck with all your claims!

 

Baz

[Neo]

Ha ha thanks!

 

It's a bit of a nightmare calculating the interest if they are historic, but good luck too!

 

Cheers

[Barry031261]

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