What does "billed deferred finance charges" mean?

manda_mullins

Because it's on our best buy card statement, and it's $600, and it made our balance a lot fvcking higher. I don't know what it means. Anyone here can help?

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haleyw458

I think that's when you have low or no interest for so long, then once that period is over all of the interest from that whole time adds up. I'm not sure but that would be my guess.

manda_mullins

haleyw458:

I think that's when you have low interest for so long, then once that period is?over all of the interest from that whole?time adds up. I'm not sure but that would be my guess.

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I should have added:

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We bought a big screen tv a year and a half ago, but it was supposed to be interest free for 2 years. Our payment is late because I told DH to take over the bills, so of course he hasn't paid any of them!

Can they do that if you have a late payment? Can it be reversed if that's what it is??

MrandMrsAndrews

haleyw458:

I think that's when you have low or no interest for so long, then once that period is?over all of the interest from that whole?time adds up. I'm not sure but that would be my guess.

Basically this...

You probably had a deal where you had 0% interest for a certain amount of months (but only had that many months to actually pay off the balance)...

So you are stuck with paying the interest from day 1...

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haleyw458

I'm pretty sure if it's interest free for 2 years then they have to respect that time period. They can add interest for the late payment though.

Lulu0802

It's because you paid late. ?Best Buy will only honor the interest free if all monthly payments are made on time. ?You could try to call, but I don't know if they will really do anything.

DDK513

When you signed up for the card, were you offered a "no interest for x-months" promotion? If so, it means that you dont have to pay the interest, but it accrues monthly anyway - then you get slammed with it after the promotional period is over. It's a HUGE scam to get people to sign up for cards, but sadly, it was all stated in the documentation you signed. Sorry

courtneyaok

haleyw458:

I think that's when you have low or no interest for so long, then once that period is over all of the interest from that whole time adds up. I'm not sure but that would be my guess.

Exactly -- when they tell you "No interest until 2010" it doesn't mean that you're not accruing interest, it just means you don't have to pay all of that interest until then.

courtneyaok

manda_mullins:

haleyw458:

I think that's when you have low interest for so long, then once that period is over all of the interest from that whole time adds up. I'm not sure but that would be my guess.

 

I should have added:

 

We bought a big screen tv a year and a half ago, but it was supposed to be interest free for 2 years. Our payment is late because I told DH to take over the bills, so of course he hasn't paid any of them!

Can they do that if you have a late payment? Can it be reversed if that's what it is? 

They can do that -- it's normal practice to do that with any bill.  You can call them and try to get them to remove it, but it doesn't usually work (unless you've had the credit card a long time and have faithfully paid it off at the end of every month).  That's how the credit card companies make their money.

jamiejefferis

if you were on a same as cash pay off plan, they defer all finance charges until the end of your same as cash time period - it sounds like you did a 24 month 0% plan. ?If, after that time period ends, there is ANY balance left, all of the finance charges accrued over the past 24 months will be applied to your account. ?If you take a look at previous bills there will be a deferred finance charge listed every month. ?Chances are, BB will not do anything about it and you will have to pay it off, accruing finance charges on top of finance charges until it is paid.

nicoleandadam

DDK513:

When you signed up for the card, were you offered a "no interest for x-months" promotion? If so, it means that you dont have to pay the interest, but it accrues monthly anyway - then you get slammed with it after the promotional period is over. It's a HUGE scam to get people to sign up for cards, but sadly, it was all stated in the documentation you signed. Sorry

This isn't correct.  The reason you are being charged is because your payment is late.  If your promotional period isn't over (which is sounds like it isn't), then you wouldn't be charged the interest...unless you breached some part of the "contract".  I doubt that Best Buy will do anything, but it's probably worth a phone call.  I'm sorry, that sucks!

 

manda_mullins

Thanks ladies. Our situation was MUCH different when we bought this tv. I never thought we wouldn't have the card paid off by now... :-(?

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DDK513

nicoleandadam:

DDK513:

When you signed up for the card, were you offered a "no interest for x-months" promotion? If so, it means that you dont have to pay the interest, but it accrues monthly anyway - then you get slammed with it after the promotional period is over. It's a HUGE scam to get people to sign up for cards, but sadly, it was all stated in the documentation you signed. Sorry

This isn't correct.  The reason you are being charged is because your payment is late.  If your promotional period isn't over (which is sounds like it isn't), then you wouldn't be charged the interest...unless you breached some part of the "contract".  I doubt that Best Buy will do anything, but it's probably worth a phone call.  I'm sorry, that sucks!

 

It depends on the card. Some companies DO accrue your interest over the whole time regardless of if your payment is late or not.

MissLMS

DDK513:

nicoleandadam:

DDK513:

When you signed up for the card, were you offered a "no interest for x-months" promotion? If so, it means that you dont have to pay the interest, but it accrues monthly anyway - then you get slammed with it after the promotional period is over. It's a HUGE scam to get people to sign up for cards, but sadly, it was all stated in the documentation you signed. Sorry

This isn't correct.  The reason you are being charged is because your payment is late.  If your promotional period isn't over (which is sounds like it isn't), then you wouldn't be charged the interest...unless you breached some part of the "contract".  I doubt that Best Buy will do anything, but it's probably worth a phone call.  I'm sorry, that sucks!

 

It depends on the card. Some companies DO accrue your interest over the whole time regardless of if your payment is late or not.

 Most "0% interest" offers I've heard of DO operate like this. You have to be sure to pay the entire balance off during the free interest period, otherwise you get sacked with all the interest from the very beginning.

purdybooshka

Dude that sucks. Good luck getting them to drop it, few months back I paid a big chunk of my BB bill & the next month I had an added $35 charge & didn't understand why... so I called & the guy explained it was because I paid my bill on the 4th of the month & my statement for that month wasn't ready until the 5th... ONE day diff. (how stupid, but hey it's rules)... & they wouldn't even drop that, so I paid off the bill- plus the $35 & haven't bought anything since because I don't want to make another mistake like that with my preggo brain!

Let us know if they fix it for you! And if I were you, I'd make DH pay it out of his paycheck since he hasn't been keeping up with his responsibility of paying bills on time (even if it is just this one bill he's had a prob. with).