Re:Ask HN: I bought Voltaren at the chemist, now Google show...
by tolbish on Sunday April 18, 2021 @01:15PM
(#26854315)
Don't you have to pay interest on your average balance even if you pay off your balance every month?
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Re:Ask HN: I bought Voltaren at the chemist, now Google show...
by AnonHP on Sunday April 18, 2021 @01:56PM
(#26854734)
Not GP, but the answer is no if you pay the balance in full every month. The issuer anyway makes money from the MDR (merchant discount rate) charged to the seller. But they would love customers who pay a partial balance regularly (at or above the minimum due) and charge them hefty interests like 20% per annum or 36% per annum or even higher, depending on a few different factors. Once you carry over balances from month to month, then every transaction attracts interest until the entire balance with interest is paid off.