HOW to stop paying Credit Card interest?
Suppose you have a Credit Card
(e.g. Ultramar National Bank Credit Card with 20% annual interest rate).
Suppose you have not made the full payment in February.
On Mar 1st (Your statement date) your balance is 1000$.
On Apr 5th you make a 500$ purchase.
On Apr 10th you make a 1000$ payment.
On Apr 15th you will make a 200$ purchase.
Suppose you want to make another payment on Apr 10th.
HOW MUCH MORE DO WE NEED TO PAY TO STOP PAYING 20% INTEREST (0.00548% daily) ? Is it:
A) 5.48$ --> 10 days of interest on 1000$ ?
B) 6.85$ --> 10 days of interest on 1000$ + 5 days of interest on 500$ ?
C) 506.85$ --> 10 days of interest on 1000$ + 5 days of interest on 500$ + 500$ ?
D) 706.85$ --> 10 days of interest on 1000$ + 5 days of interest on 500$ + 500$ + 200$ ?
E) none of the above
In case I am missing a detail, here is the specific Credit Card convention:
https://www.nbc.ca/content/dam/bnc/en/f ... -bn-an.pdf
(e.g. Ultramar National Bank Credit Card with 20% annual interest rate).
Suppose you have not made the full payment in February.
On Mar 1st (Your statement date) your balance is 1000$.
On Apr 5th you make a 500$ purchase.
On Apr 10th you make a 1000$ payment.
On Apr 15th you will make a 200$ purchase.
Suppose you want to make another payment on Apr 10th.
HOW MUCH MORE DO WE NEED TO PAY TO STOP PAYING 20% INTEREST (0.00548% daily) ? Is it:
A) 5.48$ --> 10 days of interest on 1000$ ?
B) 6.85$ --> 10 days of interest on 1000$ + 5 days of interest on 500$ ?
C) 506.85$ --> 10 days of interest on 1000$ + 5 days of interest on 500$ + 500$ ?
D) 706.85$ --> 10 days of interest on 1000$ + 5 days of interest on 500$ + 500$ + 200$ ?
E) none of the above
In case I am missing a detail, here is the specific Credit Card convention:
https://www.nbc.ca/content/dam/bnc/en/f ... -bn-an.pdf
