Credit Card Payment Allocation

OneTrueScotsman

Hi experts. My partner has a Halifax Credit Card with 24 months 0% balance transfer and 12 months 0% purchases. The standard rate is the same for both, 19.95%.

The T&C's say that payments will first go to the balance with the highest rate. My question is:

1) While both balances are at 0%, which would be credited first? I'm assuming that payments would go to earlier balances first, but not sure.

2) After 12 months, when the purchase rate hits 19.95%, will all payments at that point go towards the purchase balance? In other words, if after 12 months she wants to pay off the purchase balance, but keep the 0% transfer balance for the whole duration, can she do that?

Cheers!

[Deleted User]

1) No.  I believe Halifax put payments to the promo balance that ends first.
2) Once the purchases revert to standard rate, they will be the highest interest, so all payments will go to that balance.

OneTrueScotsman

That's good to hear on both counts. Thanks much for the info!