Bank of America Credit Card Balance Transfers

Bank of America Credit cards offers a deceptive 4.99 balance transfer. I tranfserred a balance from another card. I pay off my PURCHASES every month and make an extra payment to the amount I transferred. To JACK UP the interest rate, they apply the payment for my purchases to my balance transfer at the lower rate and apply a small amount to my purchases thereby increasing the interest rate to 18 plus percent each month! I just paid off my balance transfer amount owing, but now I owe finance charges at the HIGH interest rate on my purchases. I cannot believe I was such a sucker for this bait-n-switch tactic.

Comment On This

You are actually kind of lucky. A lot of banks only apply payments to the lower interest rate items first with none toward the higher interest rate items. It would be nice if the payments were all applied to the higher interest rate items first, as you would logically choose, but at least Bank of America applied some to both where other Banks only would have applied payments to the lower interest rate balance. I can only advise to read the fine print when using a card for a teaser or introductory rate.