Credit card installment payment refers to the process that the bank pays the consumer funds of the goods (or services) purchased by the cardholder to the merchant in one lump sum when the cardholder uses the credit card to make a large amount of consumption, and then the cardholder repays the money to the bank in installments. According to the cardholder's application, the bank deducts the consumption funds by stages through the cardholder's credit card account, and the cardholder repays according to the monthly amount. The interest calculation method of credit card installment repayment is as follows:
1. At the beginning of the credit card installment business, banks often advertised under the banner of "interest-free", and many citizens were indeed "fooled". In fact, interest-free is not free, just a different name. Generally speaking, the handling fee of credit card installment 1 year is lower than the annual cash withdrawal interest 18%, and higher than the bank commercial loan interest 1 year 5.3 1%. It is worth mentioning that the loan interest rate of commercial banks has been lowered many times since last year, but the standards of credit card installment fees and cash withdrawal interest have rarely changed.
2. Although different banks have different standards for credit card installment fees, the calculation methods are basically the same. Suppose the installment amount is 1.200 yuan, divided into 12 installments, and each installment (month) repays 1.000 yuan, and the handling fee is 0.6%/ month, and the actual monthly deduction is100+1.200× 0. If other factors are not considered, the convertible nominal annual interest rate is 7.2%. But the cardholder did not always owe the bank 1.200 yuan. In the last month, he actually only owed the bank 1 1,000 yuan, but the bank still charged the handling fee according to 1, 200 yuan.
3. According to the calculation, the actual annual interest rate that the cardholder has to pay is about 15.48%. According to the correct calculation formula, it should be1200 * 6% * (1+6%)12/(1+b)12-1) =/kloc.
4. There are two forms of installment service fee: one-time fee and average installment (month) fee:
1) One-time charge
The handling fee will be charged together with the down payment.
2) Average cost per period (month)
The handling fee will be divided into several installments (months) according to the number of installments, and will be collected together with the repayment amount of the installment.
Tips: Credit card is a simple credit service. Banks and credit card companies issue credit cards to users, and the amount of ordinary credit cards ranges from 2000- 10000 yuan. Generally, credit cards will have an interest-free period of 25-56 days, during which no additional fees will be incurred. In the case of stable credit and financial resources, you can apply for increasing the credit card limit appropriately. Quick Easy Loan Reminder In order to prevent others from maliciously swiping the credit card, please keep the credit card information properly, so as to avoid personal credit being affected by credit card theft or arrears. If you have any questions, please contact the bank where the credit card is located in time for timely handling.