interest rates on most credit cards are quite high averaging 18 8 percent as a resul 691603

Interest rates on most credit cards are quite high, averaging 18.8 percent. As a result, consumers often look for companies that charge lower rates. Be careful—some companies offer lower interest rates but have eliminated the standard 25 day grace period before finance charges are incurred. Other companies encourage consumers to get more in debt by advertising that only a $1 minimum payment is due on a $1,000 account balance. The less you pay off, the more interest they earn! One bank markets a credit card that allows cardholders to skip a payment twice a year. However, the outstanding balance continues to incur interest. Other credit card companies calculate finance charges initially on two month, rather than one month, averages, a practice that often translates into higher interest charges. In short, read the fine print.