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How are payments applied after a promotional rate expires?

The system automatically applies payments correctly based on the balances and interest already billed. 

 

Example timeline: 

Before the promotion expires 

  • Promotional APR: 1.99% 
  • Promotion ends: July 31, 2026 
  • Statement closes: August 13, 2026 

August 13 Statement 

  • Any remaining promotional balance is still used to calculate the interest billed for that statement period at the promotional rate. 
  • After the statement closes, the remaining promotional balance converts to the standard APR. 

August 14 – September 13 

  • Payments made during this period are applied toward the interest that was billed on the statement cut on August 13 and other outstanding balances. 

September 13 Statement 

  • Since the promotional balance has already converted to the standard APR, any new interest is calculated using the standard rate. 

September 14 – October 13 

  • Payments made during this period are applied toward the interest billed on the statement cut on September 14 and any remaining balances.