OpenEnded Installment Loans - Ken...
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Section 11.4 notes #4.notebook February 27, 2017 OpenEnded Installment Loans Credit Cards Credit card terms Type of Charge Daily Periodic Rate Annual Percentage Rate Purchases 0.03424% 12.5% Cash advances 0.05823% 21.25% Monthly Statement: 1. Purchases for the month no finance or interest charged if there is no previous balance due and you pay the entire new balance by the due date. This is called the grace period. 2. Cash Advance If you borrow money there is generally no grace period and a finance charge is applied from the date you borrowed the money. 3. Minimum Monthly payment The minimum payment is usually 2% of the balance owed at the end of the month. 4. Interest owed for the previous month interest occurred from the previous balance and usually interest paid for the year. https://www.youtube.com/watch?v=Vz05A6cP6Iw https://www.youtube.com/watch?v=h2HQ926cwIU https://www.youtube.com/watch?v=YAxL4TB6pmQ Spent: looking for change https://www.youtube.com/watch?v=VXSqMmELJQw
Transcript of OpenEnded Installment Loans - Ken...
Section 11.4 notes #4.notebook February 27, 2017
OpenEnded Installment Loans
Credit Cards
Credit card terms
Type of Charge Daily Periodic Rate Annual Percentage Rate
Purchases 0.03424% 12.5%
Cash advances 0.05823% 21.25%
Monthly Statement:
1. Purchases for the month no finance or interest charged if there is no previous balance due and you pay the entire new balance by the due date. This is called the grace period.
2. Cash Advance If you borrow money there is generally no grace period and a finance charge is applied from the date you borrowed the money.
3. Minimum Monthly payment The minimum payment is usually 2% of the balance owed at the end of the month.
4. Interest owed for the previous month interest occurred from the previous balance and usually interest paid for the year.
https://www.youtube.com/watch?v=Vz05A6cP6Iw
https://www.youtube.com/watch?v=h2HQ926cwIU
https://www.youtube.com/watch?v=YAxL4TB6pmQ Spent: looking for change
https://www.youtube.com/watch?v=VXSqMmELJQw
Section 11.4 notes #4.notebook February 27, 2017
Section 11.4 notes #4.notebook February 27, 2017
Section 11.4 notes #4.notebook February 27, 2017
When additional charges are made during the month, the finance charges on credit cards are generally calculated in one of two ways; the unpaid balance method or the average daily balance method.
Section 11.4 notes #4.notebook February 27, 2017
The unpaid balance method pay a finance charge on the amount owed on your previous bill.
Homework Pg 690
#2528
Section 11.4 notes #4.notebook February 27, 2017
HW page 690 # 27, 28
Section 11.4 notes #4.notebook February 27, 2017
Section 11.4 notes #4.notebook February 27, 2017
Section 11.4 notes #4.notebook February 27, 2017
Date Balance Due Number Of Days (balance)x(days)
Sum =
Divide the sum by the number of days. This is the average daily balance that the monthly interest is calculated on.
Take the sum of the amount you owed and the finance charge and this is your new balance.
Section 11.4 notes #4.notebook February 27, 2017
Date Balance Due Number Of Days (balance)x(days)
Sum =
Section 11.4 notes #4.notebook February 27, 2017
Date Balance Due Number Of Days (balance)x(days)
Sum =
Section 11.4 notes #4.notebook February 27, 2017
Section 11.4 notes #4.notebook February 27, 2017
Date Balance Due Number Of Days (balance)x(days)
Sum =
Section 11.4 notes #4.notebook February 27, 2017
Date Balance Due Number Of Days (balance)x(days)
Sum =
Section 11.4 notes #4.notebook February 27, 2017
Date Balance Due Number Of Days (balance)x(days)
Sum =
