Interest accrued CC Limit

This query is : Resolved 
Quick Summary
This discussion clarifies how to classify accrued interest on a credit card limit. The user is asking whether to record Rs. 4420 in interest for March, debited on April 1st, as 'Interest accrued and due on borrowings' or 'Interest accrued but not due on borrowings'. The guidance suggests it should be treated as 'Interest accrued but not due' as it relates to a past period but hasn't technically become due until the debit date.

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(Querist)
22 March 2023 Dear Sir

Please suggest to me suppose Mr.X has CC limit in HDFC bank. Interest Rs.4420/- for the month of March Dr. in 1st April 2023. So Mr.X has shows liabilities side under 1.Interest accrued and due on borrowings OR 2.Interest accrued but not due on borrowings

Please guide
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Dhirajlal Rambhia

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Dhirajlal Rambhia (Expert)
22 March 2023 Interest accrued but not due....
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Nisha Kathuria

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Nisha Kathuria (Querist)
22 March 2023 Thank you Very much Sir,
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Dhirajlal Rambhia

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Dhirajlal Rambhia (Expert)
22 March 2023 You are welcome..
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