How does interest work on credit cards?
Oh, finance can be so baffling can’t it?
A lot of people just never untangle how it all works and just dive right on in. This can, of course, lead to all sorts of problems as well as all sorts of debt. It is really important to be clear about money and especially about how much interest we are charged on any debt. Have a good look at the infographic below provided by HSBC and see how interest on credit cards works. It is always best to be well informed about finance, after all, it has such a huge impact on our lives, doesn’t it?
Do you feel confident that you understand your credit card and how it works?
So now you know how interest work on credit cards will it cause you to pause before you spend? Will it encourage you to pay your card off in a timely fashion?
Finances do not need to be complicated but it is crucial we educate ourselves on the basics of how credit works.
It can feel so very empowering to know what we are doing when it comes to money and hen we are educated about it it is almost inevitable we make better and more well-informed choices.
Schools are recognising this and financial education is now taught in schools. This certainly didn’t happen in my day (oh how I wish it had!) and I am hopeful our children will be far savvier than my generation. But it is never too late to start learning about money and it is something definitely worth getting to grips with. It can make all the difference to your practical and emotional wellbeing knowing yourunderstand your finances.