So I just got my first credit card and I have a APR of 28.99% and was wondering is that the percent I’ll have to pay a month if I don’t pay off my full balance or is that percent split between 12 months so only 2.4% a month
Confirming something about APR
byu/Infinite_Gap5780 inCreditCards
Posted by Infinite_Gap5780
2 Comments
Essentially split over 12 months. Best best is to pay in full each month and never get hit with interest charges.
The A in APR stands for annual. It’s approximately divided by 12, but there is some compounding involved. But you should ignore the interest rate because you should never carry any balance. Get a different type of loan if you need to. The rates are a lot lower than 29%.