topic Re: Question about payment in Credit Cards

Question about payment

Anonymous — Sat, 12 Apr 2014 17:46:56 GMT

I have a cc that I did a BT on. I know I am not suppose to use the card as to not effect the interest rate. I currently have 5 k on it now.

The problem is I was shopping online and forgot to change my payment card on file and now I charged $128 to this card. A statement won't cut for 2 weeks. Can I pay this amount now and avoid higher interest? I have already made my monthly payment this month and paid 300 over min. So will any extra at this point go to the new charge, higher interest?

Thanks for any replies.

Re: Question about payment

myjourney — Sat, 12 Apr 2014 17:51:45 GMT

Any payment will be credited to the previous balance first

Re: Question about payment

Anonymous — Sat, 12 Apr 2014 17:56:32 GMT

I read some where about how payments were applied but I can't find it now.
So basically there is no way to pay this except to pif now?

Re: Question about payment

myjourney — Sat, 12 Apr 2014 18:06:38 GMT

@Anonymous wrote:
I read some where about how payments were applied but I can't find it now.
So basically there is no way to pay this except to pif now?

In the terms

It states all payments will be applied to existing balances first

Re: Question about payment

Anonymous — Sat, 12 Apr 2014 18:13:01 GMT

Oh well. Thanks for the reply.
I thought the new cc act changed that. Guess I messed up and no way to fix it now.

Re: Question about payment

sexy_kitten7 — Mon, 14 Apr 2014 19:51:35 GMT

@Anonymous wrote:
Oh well. Thanks for the reply.
I thought the new cc act changed that. Guess I messed up and no way to fix it now.

You're right about the CARD Act. The [excess over the] minimum payment must be applied to the balance with the highest interest rate. ~~So if your minimum is ~30 bucks, you could pay the principal and interest over 5 months.~~ I'd call the company if you're particularly concerned.

Edited in brackets.

Re: Question about payment

LisaJ — Mon, 14 Apr 2014 10:25:55 GMT

Unless it is a business card. This happened to me with Ink. It was the only time I was ever denied a request with Chase on anything. They would not budge. Because I had a small balance and a BT, and they are "protected" under the Card Act, they applied every payment to the lowest interest rate- in this case a 0% BT- until I finally PIFed. That card is now not getting any love from me, but this at least partially explains why Chase hands out Ink cards with basically no proof of business like they are candy.

If it is a personal card, the payment WILL, by law, be applied to the highest interest rate. I had this scenario with Best Buy.

As an aside- thank goodness for this forum. It took me awhile, but I finally have these cards working for and paying me for usage, and not the other way around.

Re: Question about payment

Anonymous — Mon, 14 Apr 2014 10:29:11 GMT

Bank of America does things differently.

If you're with them, call'em up and straighten it out.

Don't know if others would budge to your expectations though.

All the best-!!!!!

Re: Question about payment

Anonymous — Mon, 14 Apr 2014 12:49:39 GMT

FLTN;

Any minimum payments that you make on your zero percent balance transfer will go directly to your zero percent balance.

Any payments in excess of the minium payment will go to your highest interest rate balance.

In other words, any payments make over the minimum payments will go towards your change of $128.00 plus any interest

that may have been charged to your purchase balance.

Footnote;

Remember Interest is compounded and charged daily, remember to add any additional amount to cover the interest.

Re: Question about payment

sexy_kitten7 — Mon, 14 Apr 2014 19:31:50 GMT

@Anonymous wrote:
FLTN;

Any minimum payments that you make on your zero percent balance transfer will go directly to your zero percent balance.

Any payments in excess of the minium payment will go to your highest interest rate balance.

In other words, any payments make over the minimum payments will go towards your change of $128.00 plus any interest
that may have been charged to your purchase balance.

Footnote;

Remember Interest is compounded and charged daily, remember to add any additional amount to cover the interest.

Yes, this is correct. So the OP can make 1 big payment to cover the charge. I was citing from memory above. I can't figure out how to edit comments on here!

Re: Question about payment

myjourney — Mon, 14 Apr 2014 19:36:04 GMT

@sexy_kitten7 wrote:
@Anonymous wrote:
FLTN;

Any minimum payments that you make on your zero percent balance transfer will go directly to your zero percent balance.

Any payments in excess of the minium payment will go to your highest interest rate balance.

In other words, any payments make over the minimum payments will go towards your change of $128.00 plus any interest
that may have been charged to your purchase balance.

Footnote;

Remember Interest is compounded and charged daily, remember to add any additional amount to cover the interest.

Yes, this is correct. So the OP can make 1 big payment to cover the charge. I was citing from memory above. I can't figure out how to edit comments on here!

Go to your post

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Click edit reply

Re: Question about payment

Anonymous — Tue, 15 Apr 2014 01:36:21 GMT

Thanks for the replies. I had made the charge after I paid my bill which included the min + $300. So a couple of days ago I added another $300. We will see when the statement cuts if the other $300 payment took care of it for sure.

I thought this was the case of anything over min would have to go to higher apr.