The seven deadly sins of credit card companies

Sin 5 “Payment Allocation”

 

© Polka Dot
© Polka Dot
When you make a monthly payment, credit card companies have a tiered structure to ensure that they receive the most interest possible from you. 

Although many card companies offer 0% on balance transfers, if you also make purchases on the card, your monthly payments will then be used to clear the 0% first. 

This way they can make their money charging interest on the purchases.




  
  

Women in Focus Editor
04/26/2010
Rank this page: 

Don't miss...
Celebrity silver foxes: hot men with gray hairGet a fabulous dancer's body!
Gift guide for every man in your life4th episode: Discover some fun exercises to get you in shape while doing the housework!
Latest… 26/06/2017
Guides
Videos
Managing money
Changing your name | How to change your name
Scrapbooking: making a scrapbook album like a pro
Work for yourself - get your small business online
See all Women in Focus guides
Teaching kids about money
See all Women in Focus videos
 

Don't miss out!

...Join our newsletter
Get the wewomen latest straight to your inbox
  OK
Find us on...