That Much

After 3 weeks of waiting, I finally received a fax copy of the computation of the finance charge of Metrobank credit card. As I've expected, they're charging too much or should I say over the top charging.

I requested the computation for the reason that I've noticed in my June statement that I incur finance charges more than what I'm expecting.

Here is the tabulated computation of their finance charge:

Statement Date Tran Date Amount Days Finance Charge

1. 6/18/06 5/25/06 155.25 24 4.35
2. 6/18/06 5/28/06 292.50 22 7.51
3. 6/18/06 5/28/06 1,716.00 22 44.04
4. 6/18/06 6/11/06 185.00 8 1.73
5. 7/17/06 6/19/06 2,348.75 29 79.47
6. 7/17/06 7/10/06 -2,043.71 8 -19.07

According to Metrobank, Finance Charge is computed by the number of days (from tran date to statement date) x amount of purchase x interest rate ([3.5% x 12 months]/360 days).

As you can see, every transaction is computed with a finance charge--given that the total amount due is not fully settled. I made a payment by the amount of 2,043.71 (#6) before the due date. So, I'm just lacking 305.04 of the total amount due. But, with their finance charge computation they are charging me 118.02! Too much for the remaining 305.04!!!

Take note of #5. That is the total transaction (sum of #1 to #4) of the statement, already computed with a finance charge then recomputed again (double charging).

Compared to my BPI credit card, Metrobank sucks!