Credit Card Question

[Intimidator88]

Ok so I wanna buy something for 900 bucks but I don't have that just laying around and I recenty just got a amazon rewards chase card. The intrest on the card is high I think its like 18 precent but I havnt called and activated it yet so im wondering if I use this card to buy what I want and paid 400 a month on it how much extra would I be paying? Also since I havnt activated it yet wouldn't that technally give me 2 months b4 I had to make a payment cause it done it like that for my capital one card cause the billing cycle couldn't start that month. If that's the case then its no problem I could pay it off easy in 2 months but if not how much extra is the 18 percent on 400 a month?


Btw my capital one card has a 750 limit so I can't use it on this purchase lol

 

[yuyuyup]

Fuck giving them bitches interest money, wait till you can pay it off in full. Even if you can afford the interest, don't give em a penny.

 

[Javacat]

I just did a quick search and found this calculator, which tells you how long it'll take to pay off and the total amount you'll pay. Just pretend the £ is a $

The results for what you gave are "It will take 3 months to pay off this card and will cost you a total of £1200.00". Hope that hooker is worth the extra $300 in interest

Edit: You reminded me.. I need to get a credit card.

 

[Ossot]

Your logic is exactly what leads people into credit problems.

 

[shaunj66]

If you can't afford something - don't buy it.

 

[Rogue_Ninja]

If you can't afford something - don't buy it.

Best advice

 

[MrCooper]

Being Capital One's bitch

 

[Minox]

Don't borrow money for things you don't absolutely need.

 

[MercilessDeth]

The most simple way to figure interest is Interest = principal * rate * time. Or, I = PRT

So the principal is $900, your rate is 18% (which is .18) and the time is two months.

900 * .18 * 2 = $324

Credit cards aren't really meant to work in your favor. One of the big reasons our country is in the situation it's in is that people were buying things they couldn't afford and attempting to live outside of their means using credit. It's tempting to think that, rather than work and save up $900 for an item you can get it early and just pay somebody back for it, but debt is never a good thing (unless you have to go into debt in order to earn money, like when opening a business).

Now, that's not to say that credit cards can't be a valuable tool, and indeed some people possess the common sense and willpower to use them effectively and responsibly, but most people do not. I'd suggest staying away from it (and really if you're old enough to have one you should know these things, so you may want to do some research into personal finances before doing anything rash)

 

[trumpet-205]

There are interest calculator online which you can find by Google.

Honestly, don't use your credit card unless you can pay your balance full each month. Don't even think about accruing interest, they add up fast. Especially true for any reward card, as interest cancels out reward value.

Lastly, don't spend more than 30% of your credit limit. Using 30% above your credit limit can make future credit card issuer think twice before issuing you a credit card. Keeping it under 30% or even better, 10% shows that you are a responsible credit card user and boost your credit score. This is called debt-to-limit ratio.

 

[Ethevion]

The last thing you want is to drown in debt. It'll destroy your life.

 

[Intimidator88]

I can't wait to get the say item because there's a good chance it wont be there that's where the cc comes in at. I never wanted to use that cc cause of the intrest on it atm my capital one card is the only 1 I use on a reg bases cause it has 0 % rate till october of next year and its building up my credit atm and when the card finally does get the intrest I plan on not useing inless I need too but even then just enough to where I can paid the whole bill at once so no intrest. I aculley can afford this item and can pay it off in 2 paychecks if I really need too but I guess I didn't wanna be down to the wire the next few weeks lol

Guess the smart thing to do would be just use the cc then pay the balance in full when its due.

 

[Blood Fetish]

Don't Buy Stuff

 

[trumpet-205]

If you currently have 0% intro APR then sure, take advantage of that.

Otherwise pay your balance full.

 

[Infinite Zero]

The last thing you want is to drown in debt. It'll destroy your life.

'Cause once you get in it, it'll be hard to stop.