You will be charged interest on your remaining balance and Your Annual Percentage Rate will increase. Which implies choices D is correct. Meaning Both A and B are true
If you pay a minimum amount towards your credit card bill each month, the remaining balance in your credit card will be charged. Also your yearly rate or annual percentage rate (APR) will increase.
Interest is the amount paid for the privilege of lending cash which is commonly expressed as Annual Percentage Rate. Interest will be incurred on the money you owe each month, if you are not fortunate to pay your credit card bill before the end of the month or the due date.
Simply put, when you paid your credit card bill in full each month before statement closes, then it means you do not have to pay interest. Though most credit card issuer offers a grace period, which you are exempted from paying interest but it is only applicable if you pay up in full before the expiration date.
Therefore it is advisable to pay up your credit card bill each month because it will improve your credit score, cut interest, helps tracks spending and give you a peace of mind
LEARN MORE:
- Which of the following are true if you pay only the minimum amount each month towards your credit card bill? https://brainly.com/question/2893514
KEYWORDS:
- credit card bill
- annual percentage rate
- credit card
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- annual percentage
