Regions Help & Support

FAQ

May I pay off my Term It plan early?

You may pay off a Term It plan at any time by paying the full balance owed on your credit card account.

However, you cannot make a payment and instruct us to apply that payment to your Term It plan or to any other balance owed on your account. Under federal law, if you pay more than the Total Minimum Payment Due, we must apply any excess amount first to the balance that has the highest Annual Percentage Rate (APR). Your monthly account statement shows you the APR for each balance owed on your account.

For purposes of paying off your Term It plan:

  • If your Term It plan APR is lower than the APRs for your other balances, any excess amount must be applied first to the other balances. In this situation, you must pay the full balance owed on your credit card account in order to pay off your plan.
  • If your Term it plan APR is higher than the APRs for your other balances, any excess amount must be applied first to your plan.

You can view the balance currently owed on your account by logging into Regions Online Banking or the mobile app, and viewing your account details. Keep in mind the plan details found under the Term It tab in online or mobile banking are updated at your statement cycle date and will not reflect payments made between cycles.

Here are some examples showing how excess payments must be applied:

Example 1 – Purchase APR is higher than Term It plan APR

Your account has the following balances, with no fees or past-due or overlimit amounts:

  • The balance for your purchases is $5,000 and has an APR of 15.99%.
  • The balance for your Term It plan is $1,000 and has an APR of 8.99%.

Your Total Minimum Payment Due is $500, which includes your monthly plan payment.

You choose to pay $1,500, which is an excess payment of $2,000.

We must apply your $1,000 excess payment to your $5,000 purchase balance because its APR is higher than the APR for your $1,000 Term It plan balance.

Example 2 – Term It plan APR is higher than promotional Balance Transfer APR

Your account has the following balances, with no fees or past-due or overlimit amounts:

  • The balance for your Balance Transfers is $1,000 and has a promotional APR of 1.99%.
  • The balance for your Term It plan is $2,000 and has an APR of 8.99%.

Your Total Minimum Payment Due is $500, which includes your monthly plan payment.

You choose to pay $1,500, which is an excess payment of $1,000.

We must apply your $1,000 excess payment to your $2,000 Term It plan balance because its APR is higher than the APR for your $1,000 Balance Transfer balance.

Example 3 – Balance Transfer APR is higher than Term It plan APR

Your account had a promotional APR that has applied to your Balance Transfer balance, but this promotional APR has expired.

Your account now has the following balances, with no fees or past-due or overlimit amounts:

  • The balance for your Balance Transfers is $950, which is now subject to the standard Balance Transfer APR of 24.99%.
  • Your balance for your Term It plan is $550 and has an APR of 8.99%.

Your Total Minimum Payment Due (including your monthly plan payment) is $500.

You choose to pay $1,500, which is an excess payment of $1,000.

We must apply your $1,000 excess payment first to your $950 Balance Transfer balance because its APR is now higher than the APR for your $550 Term It plan balance. The remaining portion of the excess payment will be applied to your plan balance.

Calculations in these examples are approximate and for illustrative purposes only.