Question

Which section of a Schumer Box discusses what happens when a payment is late?

Answer 1

Answer:

Penalty APR and When It Applies

Explanation:

A Schumer Box is a table that explains the costs of a credit card in the United States. It has sections like:

-Annual Percentage Rate (APR) for Purchases: It indicates the annual rate that you will be charged when you use the credit card to make a purchase.

-How to Avoid Paying Interest on Purchases: It indicates the specific situation in which you would be exempted from paying interest on a purchase.

-Penalty APR and When It Applies: It indicates the specific situations in which you would have to pay a higher interest rate as an infraction for things like making a late payment.

-Variable Rate and Balance Computation: It indicates how the interest rate can change and how the finance charge is calculated.

According to this, the answer is that the section of a Schumer Box that discusses what happens when a payment is late is Penalty APR and When It Applies.