1 reviews | Active since Dec 2020
FINANCE CHARGE FEE. Stay away from Absa Credit cards.
Hi everyone.
Just a friendly warning when it comes to Absa's credit cards.
If they tell you that you qualify for a credit card, please avoid them or if you want to take the credit card, ask the consultant the following questions in person. Dont talk over the phone.
1. How much is my monthly payment? Consultant told me only 3% of the total outstanding balance.
2. Will there be any additional fees ontop of that 3%? She looks me in the eyes and says NO SIR. I asked again, are you sure? She says yes sir.
The 3rd question you must ask is and I only found this out the hard way like many others, "Please calculate the FINANCE CHARGE FEE on the total outstanding balance". I promise you they wont because if they did, you will walk out of there.
I pay R2000 per month on my outstanding balance which im happy with because then I have credit available right? Wrong. 6 days into the new month, Absa will deduct from that available credit an additional R1500 to R1800, leaving you with nothing or sometimes in a negative balance on your credit card. Then they will send you an sms the same day telling you hey, you better pay up or you wont be able to use this account.
It feels as if im paying 2 credit cards at once or like I pay the monthly credit payment on time always and then Absa spends the available credit. And oh yes im not allowed to make payments earlier. I have to wait for the debit date. Even if you dont spend that credit, they will still charge you the FINANCE CHARGE FEE. Dont bother phoning or asking them to explain what it is or why because they will transfer you for free like a telephonic uber service from one consultant to the other and if they do explain, they will tell you to read your agreement before signing which I should have done in the first place but you trust these people when they tell you, YOU WILL ONLY PAY 3% OF YOUR TOTAL OUTSTANDING BALANCE, NOTHING MORE SIR.
You got me good Absa, you got me good. Hopefully this message helps someone out there.
Peace.
Thank you very much for your reply.
I am very eager to understand why this has been happening. Asking your consultants to tell me why has been a nightmare because they themselves do not know from the discussions I had. All I wanted was clear understanding of what I will have to pay and see if I could afford it, but I was placed under the impression that 3% will be THE ONLY amount I will need to pay. Now the FINANCE CHARGE FEE kicks in, Im paying that and in the end im sitting with the same debt I thought I was busy paying, placing me back into more debt because now I owe on my Absa credit card more than I am using. That is not fair. And the huge amount, I mean R1500 to R1800 ontop of the R2000 and im still in debt with a negative?? How am I suppose to finish this credit card when Absa keeps on taking what Im trying to repay? My credit score just dipped also with 9 points due to this, showing that I cant control my finances when indeed, Im making payments every month without failure. I wish I could also pay the monthly fee upfront before the due date to be in your good graces, but ABSA is not making that possible for me. Theres millions of us in this position with Absa and life isnt getting any cheaper. As I said, I dont mind paying extra, but make me aware of it upfront so that I willingly walk into this agreement with my eyes open. Then we wont have a problem, but this here, has been a problem since I started using that credit card. This feels like a trap.
I am looking forward to a solution.
Best Regards.
Thank you very much for your reply.
I am very eager to understand why this has been happening. Asking your consultants to tell me why has been a nightmare because they themselves do not know from the discussions I had. All I wanted was clear understanding of what I will have to pay and see if I could afford it, but I was placed under the impression that 3% will be THE ONLY amount I will need to pay. Now the FINANCE CHARGE FEE kicks in, Im paying that and in the end im sitting with the same debt I thought I was busy paying, placing me back into more debt because now I owe on my Absa credit card more than I am using. That is not fair. And the huge amount, I mean R1500 to R1800 ontop of the R2000 and im still in debt with a negative?? How am I suppose to finish this credit card when Absa keeps on taking what Im trying to repay? My credit score just dipped also with 9 points due to this, showing that I cant control my finances when indeed, Im making payments every month without failure. I wish I could also pay the monthly fee upfront before the due date to be in your good graces, but ABSA is not making that possible for me. Theres millions of us in this position with Absa and life isnt getting any cheaper. As I said, I dont mind paying extra, but make me aware of it upfront so that I willingly walk into this agreement with my eyes open. Then we wont have a problem, but this here, has been a problem since I started using that credit card. This feels like a trap.
I am looking forward to a solution.
Best Regards.