How to work out credit card interest on charges

[MondeoST24]

Can anyone help me as to how to work it out. I dont mean the 8% APR as allowed by county court. As in the following example

 

13/12/01 LATE PAYMENT CHARGE £20 - from today this is 1542 days. The interest rate at the time was 14.9%

 

If the balance of the card never fell below £20 then 14.9% must have been accruing from the date of the charge until closure of the account. Is this right? Also what happens if the interest rate went up to 16.9% half way through the period? Do you calculate 16.9 on the original £20 or the compounded figure (i.e the £20 + the 14.9% for that period)

 

Sorry for rambling, just thinking out loud, and I seem to have confused myself

[BankFodder]

None of it is ghoing to be satisfactory. You won't be able to work out the exact interest which you have paid wihtout a good spreadsheet.

If they have charged you a penalty of £20 then you will be able to claim the interest that they actually charged you on it if you were in overdraft. So if they charged you £20 and for 6 months you were in overdraft, they will have charged you 14.9% on the £20 and you can get that back. Then if you went nto the black for 3 months, no interest was charged on the £20 so you can't claim it back.

If they changed the interest rate halfway through then you will have to include that in your calculation only for the period in which this increase was in force and only for those periods in which you were actually charged it because you were in overdraft.

[gothicf0rm]

when i worked out mine i just went for the lowest rate to be sure. its more complicated than what youve explained though.

if you owe 1000 and have paid 1000 in fees (and or interest) you can claim ALL the interest youve been charged from the point you would have been in credit but for their charges.

[MondeoST24]

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