The confusion probably rests in the two different ways something "clearing" can mean.
Often banks and credit cards will post payments or deposits in "good faith, " meaning under the assumption that the payment or deposit is valid. Therefore, you have the available funds immediately or shortly after the deposity. However, if the check is returned or is not valid for any reason, they will revoke the deposit.
So, perhaps there was a miscommunication in that by clearing you meant that the check could not be returned, and they meant that you had the funds available at the time, because they did not realize the check would be returned.
It is common (and is probably in your cardholder agreement) that credit cards increase your apr to a delinquency rate when your payment becomes past due.
Also, at no point is a credit company required to continue issuing credit. Their business is to lend money, but they are not required to lend money. Which means at any point they can close your account. However, it sounds like you may have entered into a hardship agreement with them if they lowered your APR and closed the account at the same time. Companies offer hardship programs for their cardholders to assist them during periods of financial difficulty. When they do this they close the account because they are assisting when you are unable to abide by the terms (pay the higher apr) by changing the terms.
Of course, I don't know the full story, but this is what I can surmise from what you've written here.
I just want to let you know that you should not post your full name, address, and certainly not your credit card number to the internet. This is dangerous.
Yes, they do use this practice. You may want to be aware because many banks are now moving towards this practice. It is in the terms of the account.
However, keep in mind that you can always avoid this by not over-drafting your account.
No, it isn't contradictory. The 3.99% is a promotional rate. The 10.99% rate is your purchase standard rate; he was just able to lower it from 15.99%
It is common credit card practice for banks to charge a delinquency rate, that is a higher rate for accounts that show 2 payments past due.
A payment is considered on time when the minimum payment is received in full by the duedate. While the branch may have made the payment, they may have been on the next business day. Also, even though it was only by a small amount, underpaying the minimum payment due to considered a late payment, because you didn't meet the minimum.
Technically, BoA is right. Whether or not they should take these things into consideration when reviewing the account is their decision.
Unfortunately, what happens is that people often close their accounts and still have a balance that they are paying on. Therefore, they would not want their autobill to be cancelled. In fact, they would certainly be very angry if it was and they incurred late fees. Because people with closed accounts can still have a balance, closed accounts still accept payments.
Unfortunately, you scheduled the payments to be withdrawn, and this means it is your responsibility to cancel them.
