Payments Go To 0% Balance or Regular Balance?

[shane82388]

When I make a payment on my Barclays card, is that going to to go towards my older, non-0% promo balances, or towards the promo balance first?

[emptypockets]

Check your Terms and Conditions to see how payments are applied, but most apply payment to the balance with the highest rate of interest first.

[ryanbush]

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@emptypockets wrote:

Check your Terms and Conditions to see how payments are applied, but most apply payment to the balance with the highest rate of interest first.

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You might want to check this info, the way I understand this works is anything you pay over your minimum payment has to go towards the balance with the highest interest rate.

[youngandcreditwrthy]

Per the CARD Act, Rybush is correct.
Min pmt goes to lower APR. anything over goes to highest APR.
also, the issuers reserves the right to change how the min pmt is calculated heh

[Creditaddict]

your minimum will go to 0% and any amount over the minimum should go to highest interest UNLESS this is a business account.

so if your minimum is $100 and you owe $100 that is not 0%, you would need to pay $200 to clear out that non 0% balance.

[emptypockets]

According to the Credit CARD Act of 2009, issuers are required to apply any amount in excess of the minimum payment to the debt with the highest interest first. The clincher? Most issuers will apply your total minimum amount payment to the lowest interest debt first, which will draw out the repayment time (and interest charges) on the higher interest debt. Because of this, it may be best to avoid using a balance transfer card for any new purchases to avoid dual-interest-rate balances. 

Read more: http://www.creditcards.com/credit-card-news/help/9-things-you-should-know-about-balance-transfers-60...