Bank of America Credit Card Complaint

Bank of America Credit card department,

Convenience checks Pennsylvania

In - of - I took advantage of a promotional deal that Bank of America was running through my credit card. I used a check they issued with a 0 % APR until - -. Unfortunately my financial situation did not allow me to pay off this debt by the end promotional period. So starting - - I have been paying the agreed upon 21 % APR on the remaining balance that is subject to this rate. I unfortunately hit a difficult financial time and maxed this credit card out. I am unable to make payments beyond the minimum balance at this time, but I have not missed a payment and continue to pay on time. For standard purchases the APR is 14.99 %. Here is where I am upset : It is my understanding that the minimum payment is calculated by adding the interest accumulated on each outstanding balance ( the 21.99 % and the 14.99 % ) and 1 % of the overall balance due.


month is added to the Balance Subject to Interest Rate ( BSIR ). In - - the was $4700.00 for my 21.99 % portion of my BoA balance. As of my last statement ( ending - -, - ) I now owe $5500.00 for my 21.99 % portion of my BoA balance. This BSIR increases by over $100.00 each month, and the interest amount increases each month because the BSIR increases. I have talked to BoA. They claim that the Fair Credit Act directs them as to how to apply my minimum payment across multiple APR balances on - card. Now I have read the Fair Credit Act. It was boring. It does dictate how to apply payments OVER the minimum. It does not clearly state how minimum payments should be applied. It is my assertion that BoA is exploiting a loop hole and hiding behind that FCA. Minimum payments should not penalize consumers by increasing debt. Money should be applied to the accounts so that in this case the balance for the higher interest portion does not increase each month. In order for this to stop happening to my account I must pay enough to pay the minimum payment plus the higher interest portion of my debt, least I increase the debt in the higher interest account all over again.