Category: Balance transfers

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A couple of my cards have aprox. 3 Interests Rates (Standard Purchase/Cash Adv./ Special). How do I have my payment applied to the highest interest balance? How do they determine where my payment goes?

Have had simular circumstances and by saving and comparing my most recent statements, I couldn’t help but notice my card applied the payment to the lowest interest rate first, therefore making more revenue for them.

Most of the time payments are applied to the earliest charges made on the account. This is the big reason credit card companies offer those super low rates on balance transfers since those are the balances that are first entered on the account. They are banking on you using that account for your regular credit purchases so they can collect the higher rate on those. They only way around this is to transfer the balance and then not use the account until the balance is paid off.