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No. of Recommendations: 1
The problem is that accounting terminology isn't being used strictly from one party's point of view. It would be too confusing for most consumers if they were told that they had a 'debit balance' so they shouldn't pay, or that they had a 'credit balance due' so they had to make a payment. That's because consumers DO look at it from their point of view, even if the issuer doesn't.

Payments on a credit card show as subtracting from the balance, but they are called 'credits', as in - "The payment was credited to your account on 3/1/19." So when a consumer ends up with a negative balance by overpaying, it's called a 'credit balance' since it resulted from crediting more than the balance due.

On MY card statements, when they owe me money, they call it a credit balance and show a negative dollar value. That's really a debit balance on their books, but indeed they do play fast and loose with the terminology in order not to confuse the masses that don't know accounting terminology. But it's still accurate in the sense that a negative credit balance is effectively the same thing as a positive debit balance.

And you're right, your payments are called 'credits,' but that's in the sense of, "Hey, we gave you credit for the money you sent to us," and not in the sense of accounting terminology. It's a stupid, confusing practice if you ask me.

But still, I'll bet a cool nickle that the OP actually under payed and doesn't realize it.

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