Order card payments are applied.

[Deleted User]

OK. Got balance of £3000.

A) £1000 of this is at 0% reverts in August.
£1000 of this is at 0% reverts in December.
C) £1000 is on lifetime 3.9%.

Am I right in saying that for all credit card they get credited in the following order:-

1. Highest rate.
2. Earliest balance transfer.

So, now any amount less than £1000 would be credited to C? Only way to pay off A is to wait until Aug (when it becomes the highest rate) and then pay it off? I guess problem with this is you need to make sure if is back to normal rate which will mean at least a few days of standard interest?

Or alternatively, pay off £2000 now (£1000 get credited to A and £1000 to .

g6jns_2

[quote=[Deleted User];discussion/5008992]OK. Got balance of £3000.

A) £1000 of this is at 0% reverts in August.
£1000 of this is at 0% reverts in December.
C) £1000 is on lifetime 3.9%.

Am I right in saying that for all credit card they get credited in the following order:-

1. Highest rate.
2. Earliest balance transfer.

So, now any amount less than £1000 would be credited to C? Only way to pay off A is to wait until Aug (when it becomes the highest rate) and then pay it off? I guess problem with this is you need to make sure if is back to normal rate which will mean at least a few days of standard interest?

Or alternatively, pay off £2000 now (£1000 get credited to A and £1000 to .[/QUOTE]
There is no general rule. You need to look at the card terms and conditions.

[Deleted User]

g6jns wrote: »

There is no general rule. You need to look at the card terms and conditions.

Thought new rules had come in to standardise this?

YorkshireBoy

[quote=[Deleted User];discussion/5008992]Am I right in saying that for all credit card they get credited in the following order:-

1. Highest rate.
2. Earliest balance transfer.[/QUOTE]1. Usually, but not always. Some providers apply payments to statemented transactions before unstatemented transactions. Doesn't apply to your situation, but worth a mention.


2. For that, you need to check your T&Cs.

So, now any amount less than £1000 would be credited to C?

Yes.

Only way to pay off A is to wait until Aug (when it becomes the highest rate) and then pay it off?

Yes.

I guess problem with this is you need to make sure if is back to normal rate which will mean at least a few days of standard interest?

Yes.

Or alternatively, pay off £2000 now (£1000 get credited to A and £1000 to .

Not possible. See above.

thenudeone

g6jns wrote: »

There is no general rule.

Yes there is. Payments should be applied to the balance which attracts the highest rate. This is agreed industry practice.
However, as stated above. some issuers interpret this differently in relation to very recent transactions.

g6jns wrote: »

You need to look at the card terms and conditions.

Always good advice.