GRAND RAPIDS, MICH. - A major credit card company is changing the way it calculates interest after customers threatened to cancel their cards.
It's a story WZZM 13 On Your Side first warned consumers about back in August.
Comenity Bank manages credit cards for retailers like Meijer, Victoria's Secret, Wayfair and Bed Bath & Beyond, just to name a few.
The company says it sent out notices to its customers in May, explaining how cardholders will be charged daily interest on purchases. The terms go on to say, if the balance is paid-off in full each month, the customer will not be charged interest. However, several customers told us they were being charged interest, even after they thought they paid-off their balance. It happened when they purchased items between their statement date and due date. They were being charged interest on those purchases, if they didn't include it in their monthly payment. One woman explained on Facebook what happened to her:
After receiving several complaints, this is what Comenity Bank had to say about changing its interest calculations: “Comenity is committed to delivering an outstanding cardmember experience. We continually monitor the market and make adjustments to ensure we are relevant and competitive. It's important to note that interest is never charged to cardmembers who pay their balance in full each month, and this practice remains intact. At this point we have reinstated our previous method of calculating interest.
►Make it easy to keep up to date with more stories like this. Download the WZZM 13 app now.
© 2017 WZZM-TV