Published on February 13, 2025 | 8 min read Key takeaways A credit card’s interest rate is called its APR, or annual percentage rate. Different rates may be applied to various types of transactions — which could include purchases, balance transfers and cash advances. Credit card interes...
A credit card interest rate — or APR — refers to the extra amount you’ll owe each month if you don’t pay off your credit card bill in full.
What is a credit card statement and how does it work? Your monthly credit card statement is a record of your recent transactions, activity, and applicable fees and interest charges. Credit card companies and banks typically mail out your monthly statement after the end of your billing ...
At its core, the minimum payment on a credit card represents the minimum amount of money you are required to pay by the due date each month. Failing to meet this obligation can result in late fees, penalty interest rates, and a negative impact on your credit score. While the minimum paym...
While making the minimum payment on your credit card balance may provide temporary relief, it can have significant long-term consequences on your financial well-being. By deferring a portion of the outstanding balance to subsequent billing cycles, you subject yourself to the accrual of interest on...
Making regular payments to your outstanding balance is also a great way to avoid long-term credit card debt or instances where you might wind up spending more than you planned. How does an outstanding balance affect my credit score? The outstanding balance on your credit card may or may ...
An interest rate is the amount charged on top of the principal by a lender to a borrower for the use of assets. An interest rate also applies to the amount earned at a bank or credit union from a deposit account. Most mortgages use simple interest. However, some loans use compound inter...
How do credit card balance transfers work? How long does a balance transfer take? Are there balance transfer fees? Is a credit card balance transfer right for you? How much money should I transfer? Will I save money with a credit card balance transfer? Can I avoid interest on purchases if...
Does pre-approval for credit cards mean I’m approved for a credit card?No, pre-approval doesn’t mean you’ve already been approved for a credit card. Credit card pre-approval just means that you might be a good candidate for an offer based on the credit card issuer’s initial ...
When you make the minimum payment on a credit card, it’s usually some interest, some fees, and a little bit of the principal you owe. Exactly how much depends on how your card issuer does the figuring — either a fixed amount or based on a percent of what you owe. Interest and Fee...