How I Got Charged ₹6,500+ Interest for Missing Just ₹1,769.50

[ashiquekhan]

I’ve been using Axis Bank credit cards for 7 years without any major issues—until now. This time, I got slapped with an insane charge for a tiny mistake.

On 22nd Jan 2025, my credit card statement was generated with a total due of ₹96,769.50. I made a payment of ₹95,000 on 24th Jan, missing just ₹1,769.50 by accident. The same day, I also made purchases worth ₹90,000 + ₹60,000.

I realized my mistake and paid the remaining ₹1,769.50 on 16th Feb, thinking everything was fine. But on 22nd Feb, Axis Bank hit me with a ₹6,563.94 interest charge + ₹1,181.50 GST.

I paid almost my entire bill within 2 days, cleared the remaining amount within 5 days of the due date, and still got penalized like this. How does this make sense?

I reached out to Axis Bank, hoping they would reverse the charges. Waiting to see if they actually do the right thing.

Has this happened to you? Let me know! #AxisBank #CreditCardWoes #BankingMess

 

[akshayhs]

I am not sure if I have calculated the time difference correctly, but you have crossed 3 day grace period after the 20d time to pay your dues(Statement: 22nd, Due date: 11th. Grace period of 3 days takes you to 14th). So you have been charged. And in that way, your Honor, it makes perfect sense.

 

[coolguy1]

The interest is charged on the total amount due even if you pay everything and leave ₹100.

There's a reason why so many people say - ignore the min due amount, just focus on total due and pay it all before due date.

If I swipe 10L and pay 9.9L, the bank will still charge me interest on 10L and not the 10K that I missed.

 

[Dreamer]

Feel for you. It sucks. Worst nightmare for good card users

 

[Jkt]

thats why for CC bill payments always opt for complete payments and not look for various hacks to earn extra rewards. one missed payment and what ever you can earn from Jugaad would vanish!
only option you have it to request the bank, at their discretion they can reverse the charges

 

[jaisinghal]

I’ve been using Axis Bank credit cards for 7 years without any major issues—until now. This time, I got slapped with an insane charge for a tiny mistake.

On 22nd Jan 2025, my credit card statement was generated with a total due of ₹96,769.50. I made a payment of ₹95,000 on 24th Jan, missing just ₹1,769.50 by accident. The same day, I also made purchases worth ₹90,000 + ₹60,000.

I realized my mistake and paid the remaining ₹1,769.50 on 16th Feb, thinking everything was fine. But on 22nd Feb, Axis Bank hit me with a ₹6,563.94 interest charge + ₹1,181.50 GST.

I paid almost my entire bill within 2 days, cleared the remaining amount within 5 days of the due date, and still got penalized like this. How does this make sense?

I reached out to Axis Bank, hoping they would reverse the charges. Waiting to see if they actually do the right thing.

Has this happened to you? Let me know! #AxisBank #CreditCardWoes #BankingMess

You can call the customer care and ask them to wave the charges as one time mistake, it could or could not happen. But you can try

 

[Aniket]

I’ve been using Axis Bank credit cards for 7 years without any major issues—until now. This time, I got slapped with an insane charge for a tiny mistake.

On 22nd Jan 2025, my credit card statement was generated with a total due of ₹96,769.50. I made a payment of ₹95,000 on 24th Jan, missing just ₹1,769.50 by accident. The same day, I also made purchases worth ₹90,000 + ₹60,000.

I realized my mistake and paid the remaining ₹1,769.50 on 16th Feb, thinking everything was fine. But on 22nd Feb, Axis Bank hit me with a ₹6,563.94 interest charge + ₹1,181.50 GST.

I paid almost my entire bill within 2 days, cleared the remaining amount within 5 days of the due date, and still got penalized like this. How does this make sense?

I reached out to Axis Bank, hoping they would reverse the charges. Waiting to see if they actually do the right thing.

Has this happened to you? Let me know! #AxisBank #CreditCardWoes #BankingMess

Interest is supposed to get levied on outstanding amount only, not on TAD but from the date of transaction. Also, note in the event of failure to pay TAD, you loose intrest free period, in other words it is deemed as if there were no intrest free period, so if you purchase onwards, without clearing previous bills wholly, interest shall apply on such purchases as well.

So, calculate accordingly.

Ask, most likely they will waive off.

 

[Aniket]

The interest is charged on the total amount due even if you pay everything and leave ₹100.

There's a reason why so many people say - ignore the min due amount, just focus on total due and pay it all before due date.

If I swipe 10L and pay 9.9L, the bank will still charge me interest on 10L and not the 10K that I missed.

F a l s e 🙂

 

[Z_S]

As just want clarification on this like my hdfc total amount generated was of rs 57,000/- afterwards i have received refund of rs.7,000/- after statement generated date..so paid the remaining 50k on it..

An just for my clarifications mailed to hdfc that as i have paid the outstanding amount still the balance is showing as unpaid of 7k kindly revise the statement so they said that no matter as you have got refund after statement generation date you have to pay full amount now and then after your credit will be adjusted against new purchases..so means they dont follow rbi guidelines here that you have to pay just remaining amount and not whole amount,now what should i do should pay credit amount also or not??..any expert opinion here

 

[Aniket]

As just want clarification on this like my hdfc total amount generated was of rs 57,000/- afterwards i have received refund of rs.7,000/- after statement generated date..so paid the remaining 50k on it..

An just for my clarifications mailed to hdfc that as i have paid the outstanding amount still the balance is showing as unpaid of 7k kindly revise the statement so they said that no matter as you have got refund after statement generation date you have to pay full amount now and then after your credit will be adjusted against new purchases..so means they dont follow rbi guidelines here that you have to pay just remaining amount and not whole amount,now what should i do should pay credit amount also or not??..any expert opinion here

If you want peace 🕊️ then pay 7k more.

If you want to fight and want to teach them a lesson, don't do anything, let them apply the charges and then you know what to do next. Having said that even if the decision will be taken in your favour, bank still gonna repeat the same, instead of making arrangements/changes in their system.

Some banks algorithm is not designed or equipped for these even today, means TAD don't get reduced at the end of customer on cr. of refund. However, they can see in their system what's the amount due to be paid for previous billing cycle so that no harm will be caused, TAD-Refunds also work, no charges get applied.

But don't know the case of HDFC, never encounterd such situation in HDFC.

So, do as you wish, 2 alternatives are there.

P.S: Don't know what's expert in your dictionary. Also, now realised, your username, lol. 🤣

 

[sjmajumder]

As just want clarification on this like my hdfc total amount generated was of rs 57,000/- afterwards i have received refund of rs.7,000/- after statement generated date..so paid the remaining 50k on it..

An just for my clarifications mailed to hdfc that as i have paid the outstanding amount still the balance is showing as unpaid of 7k kindly revise the statement so they said that no matter as you have got refund after statement generation date you have to pay full amount now and then after your credit will be adjusted against new purchases..so means they dont follow rbi guidelines here that you have to pay just remaining amount and not whole amount,now what should i do should pay credit amount also or not??..any expert opinion here

Is the 7K refund from billed purchases or from unbilled purchases?

 

[sjmajumder]

I’ve been using Axis Bank credit cards for 7 years without any major issues—until now. This time, I got slapped with an insane charge for a tiny mistake.

On 22nd Jan 2025, my credit card statement was generated with a total due of ₹96,769.50. I made a payment of ₹95,000 on 24th Jan, missing just ₹1,769.50 by accident. The same day, I also made purchases worth ₹90,000 + ₹60,000.

I realized my mistake and paid the remaining ₹1,769.50 on 16th Feb, thinking everything was fine. But on 22nd Feb, Axis Bank hit me with a ₹6,563.94 interest charge + ₹1,181.50 GST.

I paid almost my entire bill within 2 days, cleared the remaining amount within 5 days of the due date, and still got penalized like this. How does this make sense?

I reached out to Axis Bank, hoping they would reverse the charges. Waiting to see if they actually do the right thing.

Has this happened to you? Let me know! #AxisBank #CreditCardWoes #BankingMess

If you've never missed a payment before, politely request a waiver as a goodwill gesture. They are most likely to oblige.

 

[Mr. BeanMr. Bean is verified member.]

CC issuing banks make most money from delayed payments. They are likely to refund, if it is the first-time. My friend got it reversed just once and then he just closed the card (after a few months since the incident).

Axis used to support eNACH previously to pay CC bills. Not sure about the current status. If it still supports, use eNACH to auto-pay any pending amount on the due date. To illustrate with OP as example, if OP used eNACH, eNACH would have taken care of paying 1,769.50 automatically with the linked bank account. You don't need to have the SB bank account with the card issuing bank to utilize eNACH.

 

[RAMESH BABU N]

This problem arose because the OP is NOT aware of the way banks charge on default payments for CCs.

Almost all banks give detailed examples in their monthly CC statements on how the delayed or part payments will be charged.

READING is a must. Reading, understanding and strictly following the laid down rules will avoid such headaches. No need to beg or plead for waivers.

 

[sjmajumder]

CC issuing banks make most money from delayed payments. They are likely to refund, if it is the first-time. My friend got it reversed just once and then he just closed the card (after a few months since the incident).

Axis used to support eNACH previously to pay CC bills. Not sure about the current status. If it still supports, use eNACH to auto-pay any pending amount on the due date. To illustrate with OP as example, if OP used eNACH, eNACH would have taken care of paying 1,769.50 automatically with the linked bank account. You don't need to have the SB bank account with the card issuing bank to utilize eNACH.

I have never used eNACH, are you absolutely sure it will debit only the remaining amount and not the entire bill amount? Say for instance my TAD is 10K and I paid 9.9K one day before due date. Will eNACH process 100 or entire 10K on the due date?

 

[ashok.singh]

I have never used eNACH, are you absolutely sure it will debit only the remaining amount and not the entire bill amount? Say for instance my TAD is 10K and I paid 9.9K one day before due date. Will eNACH process 100 or entire 10K on the due date?

+1 following this thread now..

 

[Mr. BeanMr. Bean is verified member.]

I have never used eNACH, are you absolutely sure it will debit only the remaining amount and not the entire bill amount? Say for instance my TAD is 10K and I paid 9.9K one day before due date. Will eNACH process 100 or entire 10K on the due date?

If eNACH debits the entire amount, I'd have suggested better options such as BBPS autopay that is utilized by HDFC SmartPay, Slice billpay, etc. Because those better options have the ability to pause the automatic payment. With eNACH, there is no way to pause (for a particular month).

 

[AlgoTrader]

one of my biggest fears

 

[sjmajumder]

If eNACH debits the entire amount, I'd have suggested better options such as BBPS autopay that is utilized by HDFC SmartPay, Slice billpay, etc. Because those better options have the ability to pause the automatic payment. With eNACH, there is no way to pause (for a particular month).

The point I tried to convey is - Sometimes, bank takes more than one day to adjust the payment in the card account (while maintaining the date of credit). It may well be possible that when I paid one day in advance the same has not been adjusted at the time of eNACH execution. In that case isn't it likely that eNACH will process the entire amount again?

 

[Z_S]

Is the 7K refund from billed purchases or from unbilled purchases?

Its for billed purchases