The $2 charge from Macy's is most likely a minimum interest charge on your credit card account.
Understanding the $2 Macy's Charge
Credit card companies, including Department Stores National Bank (DSNB) which issues Macy's credit cards, have specific policies regarding interest charges. If your account accrues any interest during a billing cycle, even a very small amount, the total interest charged will be no less than $2. This means that if your calculated interest for a billing cycle is less than $2 (for example, $0.50 or $1.25), it will be automatically increased to $2 to meet this minimum requirement.
This charge is typically added to your regular purchase balance or allocated among any balances on which interest is accruing on your account.
Why Might You Be Charged Interest?
Interest charges generally occur when you do not pay your full statement balance by the due date. Common reasons for incurring interest include:
- Carrying a Balance: If you did not pay off your entire balance from the previous billing cycle, interest will be calculated on the outstanding amount.
- Late Payment: Even if you usually pay in full, a payment received after the due date can sometimes trigger interest accrual from the transaction date.
- Promotional Balances Ending: If you had a deferred interest promotion (e.g., "no interest if paid in full by X date") and you didn't pay the promotional balance completely by the deadline, all the accrued interest from the original purchase date may be applied to your account, potentially triggering this minimum charge.
What You Can Do
To confirm the exact reason for the $2 charge and understand your account activity, you should:
- Review Your Latest Statement: Look for a section detailing "Interest Charged" or "Fees." Your statement will provide a breakdown of how interest was calculated and applied to your account.
- Contact Macy's Credit Services: If you have questions after reviewing your statement, contacting their customer service directly can provide specific details about your account and the charges.
Preventing Future Minimum Interest Charges
To avoid minimum interest charges and other interest fees on your Macy's credit card in the future:
- Pay Your Statement Balance in Full: Always strive to pay the entire "New Balance" shown on your statement by the due date. This prevents interest from being charged on your purchases.
- Pay on Time: Ensure your payment is received by the due date to avoid late fees and potential interest accrual.
- Understand Promotional Terms: If you take advantage of special financing offers, be clear on the terms and ensure you meet the payment requirements to avoid deferred interest being applied.
