Virgin Money charge interest after balance paid and account closed

Oct 9 2011 by Mr Justice, Sunday Sun

A BALANCE transfer went smoothy for Kim Davis and less than smoothly for her husband Jason.

Both had transferred money from separate accounts to a new card with a new company.

But while there was no problem with Kim, there was a problem with Jason which became apparent months later.

Kim said: “The process seemed smooth and problem-free, or so we thought.

“My card was cleared fine and the balance went through.

“Jason followed the same process, the call-centre worker for Virgin Money told him what to do, and advised him to cancel his direct debit.

“He recently rang Virgin to make a separate inquiry and, to his horror, was told he was in arrears by £40.

“They said this was interest added after the balance was cleared.

“He was told all banks are different and some include interest in the final figure and some don’t ... and they don’t.

“I don’t remember this wasn’t explained at the time and I don’t think it’s fair.

“They are saying is that he should have been logging on to check his account but why would he do that when the account had been closed?”

Kim, an exiled Geordie now living in Sittingbourne, Kent, said Virgin Money came across as uncaring.

I asked Virgin Money for a comment and they agreed to investigate.

PR manager Grant Bather told me: “We are currently looking into this. It is a complex issue that needs to be fully investigated to ensure the correct decision is made.

“I will let you know as soon as I have an answer for you ... and apologies for the delay.”

I will keep readers up-to-date as soon as I hear back from the company.