Share this on:
 E-mail
876
VIEWS
3
COMMENTS
 
SHARES
About this iReport
  • Not verified by CNN

  • Click to view TXBlue08's profile
    Posted October 31, 2009 by
    TXBlue08
    Location
    McKinney, Texas
    Assignment
    Assignment
    This iReport is part of an assignment:
    Breaking news

    More from TXBlue08

    Chase's Incorrect Interest Calculations This Month May Affect Many

     

    Have you checked your credit card statement lately? Maybe you should. It is easy to gloss over the interest you owe if you are carrying a balance. But you need to check your statements to verify that the interest charged is correct; otherwise, you’ll be paying a lot more interest than you should.

    Sometimes we don’t even pay attention to the “average daily balance.” Recently, I missed a credit card payment and found out the hard way that, not only do you owe interest, but a late fee as well. The finance charge on my $300 balance was almost $31 for the month, along with $39 late fee. I had a zero balance at the beginning of the month.

    Chase calculated the “average daily balance” on my bill as $2,820, an amount that was more than my total credit card charges for the year. Common sense tells you that amount is not correct. If you don’t know how to calculate your “average daily balance,” see here: http://www.college-cram.com/study/finance/presentations/243.  My average daily balance was $240.

    As you might suspect, it took a couple of hours and many different customer service agents to straighten out the problem. The stock answer was, “the computer calculates that amount,” and there is nothing they can do.

    Turns out the computer was wrong. If your interest has been calculated incorrectly, ask to speak to a supervisor. Most customer service reps don’t even know how the average daily balance is calculated.

    Chase Bank credited my interest back, but there’s no way to know that they fixed their “glitch.” So credit card carriers beware: check your “average daily balance” to make sure it is correct. Otherwise, you could, like me, be charged 120% interest.

    And, do you think Chase will willingly go back and remedy their error?

    What do you think of this story?

    Select one of the options below. Your feedback will help tell CNN producers what to do with this iReport. If you'd like, you can explain your choice in the comments below.
    Be and editor! Choose an option below:
      Awesome! Put this on TV! Almost! Needs work. This submission violates iReport's community guidelines.

    Comments

    Log in to comment

    iReport welcomes a lively discussion, so comments on iReports are not pre-screened before they post. See the iReport community guidelines for details about content that is not welcome on iReport.

    Add your Story Add your Story