Credit Card question APR

fdrfan54 · ‎01-14-2018

Say for example I charged somthing for 80.00 and pay instalments of 30.00 a month. The credit card has a 29.99 APR. Would I be paying a lot in interest?

Newegg Card $1200| Amazon Card $1000| Walmart Card $1100| Discover IT Card $1500 Current Fico score is 672 currently Gardening for the time being. Been a member of the Garden since 11-21-17 Planning to stay until Mid-2019.

Anonymous · ‎01-14-2018

Roughly $4 (rounded up).

pipeguy · ‎01-14-2018

In actual dollar amount 2.5% per month on the unpaid balance - some lenders use an average daily balance method which up's the cost some. So on $80 + $2.50 first month less $30 = $50 + 2.50 = $52.50 second month less $30 + $1.31 = $23.81. (note interest becomes principle for remaining balance for the next month and future interest calculations)

Even if the actual dollar number for interest is not that much on this example ANY account with a 30% APR is outrageous and very expensive to use unless you pay in full 100% each and every month.