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Things that the Card Act doesn't cover

Valued Contributor

Things that the Card Act doesn't cover

The Credit Card Accountability Responsibility and Disclosure Act of 2009 is not perfect, and I look forward to hearing from you about its lesser known credit card flaws. One I can think of is that "no rule applies for how payments must be applied for balances with the same interest rate." So if you start a BT with a promotional 0% APR at one time and a second BT with a promotional 0% APR at another time using the same card, there is no guarantee that payments beyond the minimum will be applied towards the first until it has been paid in full before applying them towards the second!

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Valued Contributor

Re: Things that the Card Act doesn't cover


my-own-fico wrote:

The Credit Card Accountability Responsibility and Disclosure Act of 2009 is not perfect, and I look forward to hearing from you about its lesser known credit card flaws. One I can think of is that "no rule applies for how payments must be applied for balances with the same interest rate." So if you start a BT with a promotional 0% APR at one time and a second BT with a promotional 0% APR at another time using the same card, there is no guarantee that payments beyond the minimum will be applied towards the first until it has been paid in full before applying them towards the second!


There is no guarantee, but you should be reading your statement so you will be well aware of the balance(s) and the expiration dates, so you will not incur interest charges. This is why if I use a BT card, after the BT amount is put on the card, I will not use it at all until the original BT is paid off.


CC's: AMEX (4), Alliant Visa, PenFed AMEX, Pen Fed Promise, Citi (3), Chase (5), US Bank Cash+, Huntington Voice, UMB Visa, Nasa Plat Cash Visa, Barclay's Visa, Discover IT, Cap One QS, BOA (2), BMW Visa, 5/3 Real Life Rewards MC; FNBO Amex; Comenity Visa/MC (4), Ebates Visa Siggy, Nordstrom Visa, Walmart MC, Sam's Club MC; A few assorted store cards.

Current Scores (09/2017): EQ My Fico: 801; TU MyFico: 799; EX (My Fico): 797
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