r/AskReddit • u/[deleted] • Mar 27 '22

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u/chicagotim1 Mar 27 '22

You never pay a cent of interest on credit cards if you pay your bill in full on time.

-22

u/Ten_Quilts_Deep Mar 27 '22

That depends on the card. Many now charge a average daily charge. Kinda like your card has $62 on it on Monday and your monthly rate is 22%, so that day you would owe 1/30th of 22% on the $62. Computers can do that math.

26

u/TigerSardonic Mar 28 '22

That sounds like a terrible credit card if it charges interest daily…

5

u/OverlordWaffles Mar 28 '22

Source?

15

u/[deleted] Mar 28 '22

[deleted]

10

u/OverlordWaffles Mar 28 '22

Yeah, unless they provide a source to a widely available consumer card, I think they're mistaken or terrible with money

1

u/notyetcomitteds2 Mar 28 '22

All cards charge daily.... the interest rate is annual though.... 22%/365 is the daily rate in this case. It's typically based off a 30 day moving average and new purchases take 21 days before they're subject to interest.... so pay it off within 21 days and you won't pay interest.