Thermostat turning on heat even when warmer than set temp

I noticed the thermostat was cycling the fan even when the the actual temp was higher than the set temp. I assumed this had something to do with the Fan Cycle setting which can’t be set to 0. This annoyed me cause it seems thats just wasting electric running the fan when the heat is not needed, I was planning to complain about this. Then after a few days I started to notice that it was much warmer in the house than I was used to, despite the temps being set the same as the old thermostat.

So last night when I heard it kick on and it was already warm, I went to look to verify and sure enough temp was set to 65deg and the thermostat was saying it was 70deg in the room. But the fan was on. Then I noticed that it was blowing Warm air from the vent. So its not just cycling the fan its actually running the heat at times even when its 5deg over the set temp already.

I am confused by this and don’t know if its related to the Fan Cycle, or if there is something wrong with the thermostat. Anyone else experiencing this?