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How to calculate the APR on a credit card
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samuel.s
Posts: 102 Forumite
in Credit cards
I have a Virgin credit card and knowhere on the statement does it state the annual precentage rate. Does anyone know the formula for calculating?
Currently the monthly interest rate is 2.2071%
I am just trying to do a more accurate SOA but need the annual APR for my calculations.
Many thanks in advance.
Currently the monthly interest rate is 2.2071%
I am just trying to do a more accurate SOA but need the annual APR for my calculations.
Many thanks in advance.
Total debt December 2010 = [STRIKE]£47,365.08[/STRIKE] Total debt January 5th 2011 = [STRIKE]£47,080.89[/STRIKE]
Total debt February 5th [STRIKE]£46,431.12 [/STRIKE] Total debt 5th March 2011 = [STRIKE]£45,865.41 [/STRIKE] Total debt 5th April 2011 = [STRIKE]£45526.29 [/STRIKE]Total debt 5th May 2011 = £44764.56[/STRIKE]Target debt for Dec 2011 = £40,000.00
Total debt February 5th [STRIKE]£46,431.12 [/STRIKE] Total debt 5th March 2011 = [STRIKE]£45,865.41 [/STRIKE] Total debt 5th April 2011 = [STRIKE]£45526.29 [/STRIKE]Total debt 5th May 2011 = £44764.56[/STRIKE]Target debt for Dec 2011 = £40,000.00
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Comments
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its about 29.95% apr
the formula is if M = monthly rate then
APR = (1+M)^12 - 1
multiplying by 13 gives an approximate answer0 -
No wonder they do not state their apr on the statement. I did not realize it was so high. Many thanks for the information, much appreciated.Total debt December 2010 = [STRIKE]£47,365.08[/STRIKE] Total debt January 5th 2011 = [STRIKE]£47,080.89[/STRIKE]
Total debt February 5th [STRIKE]£46,431.12 [/STRIKE] Total debt 5th March 2011 = [STRIKE]£45,865.41 [/STRIKE] Total debt 5th April 2011 = [STRIKE]£45526.29 [/STRIKE]Total debt 5th May 2011 = £44764.56[/STRIKE]Target debt for Dec 2011 = £40,000.000 -
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. . . the formula is if M = monthly rate then APR = (1+M)^12 - 1
Just to clarify the formula by CLAPTON, M = Monthly Rate (%) / 100.
The % APR will be 100 times the result given by the formula.
So at 2.2071% per month,
APR/100 = 1.022071^12 - 1 = 0.29947..... to give an APR of 29.95% to 2 decimal places.
Warning: In the kingdom of the blind, the one-eyed man is king.
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Consumerist wrote: »Just to clarify the formula by CLAPTON, M = Monthly Rate (%) / 100.
The % APR will be 100 times the result given by the formula.
So at 2.2071% per month,
APR/100 = 1.022071^12 - 1 = 0.29947..... to give an APR of 29.95% to 2 decimal places.
thank you but it all depends upon the what you mean by the values
so, in fact,
2.2071% means 0.22071
so if you divide by 100 you get 0.002071 which doesn't give the right answer
but I'm sure we agree really0 -
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So a monthly rate of 3.5% is equals to almost 51% APR?0
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