Forum Home » Credit Cards

Interest Rate Calculator

New Post Advanced Search

Coronavirus: The latest from MSE


The MSE team is working extremely hard to keep the info we have about your travel rights, cancellation rights, sick pay (and more) up to date.
The official MSE guides: UPDATED MSE Coronavirus Guides

NEWSFLASH


New, free ‘Academoney’ course from MSE and the Open University launches
All the key areas of personal finance are covered, so that you can master your money decisions


Interest Rate Calculator

edited 17 May 2019 at 1:48PM in Credit Cards
2 replies 490 views
jacsll55jacsll55 Forumite
57 posts
10 Posts First Anniversary
edited 17 May 2019 at 1:48PM in Credit Cards
Hi all,

Just a quick question regarding the monthly interest rate on credit cards.

Would I be right in thinking that if a monthly interest rate for a credit card was 1.870% monthly on purchases, does that mean they charge 1.870 of your balance?


This is what I see on the dashboard:

Monthly Interest Rates
Cash transfer and ATM withdrawal: 1.87%
Card spend: 1.87%
0% interest on Card spend if you repay your statement in full every month!
Card spend Monthly Interest Rate: 1.87%

(Interest will only incur if you don’t repay in full every month)
Cash transfer and ATM withdrawal Monthly Interest Rate:
1.87% (Interest incurred whilst funds are outstanding)

What is my APR? Does it mean my interest rate is same for card purchases and Cash Withdrawals?


Thanks in advance!

Replies

  • zx81zx81 Forumite
    27.7K posts
    Tenth Anniversary 10,000 Posts Photogenic Name Dropper
    ✭✭✭✭✭
    Not quite. Interest is charged on your daily balance.

    Your terms will tell you your rates for cash and purchases. In your case, they're the same.
  • Ben8282Ben8282 PPR
    4.8K posts
    Newshound!
    ✭✭✭✭
    In very simple terms yes, you will pay £1.87 per-month per £100 balance.
    Is this a UK issued card? Some of the terminology used on your dashboard seems a bit strange.
Sign In or Register to comment.

Quick links

Essential Money | Who & Where are you? | Work & Benefits | Household and travel | Shopping & Freebies | About MSE | The MoneySavers Arms | Covid-19 & Coronavirus Support