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fenix001 [56]
2 years ago
5

What are the Interest and fees you pay on credit cards called?

Social Studies
1 answer:
gogolik [260]2 years ago
4 0

Answer:

finance charges

Explanation:

Credit cards are used to gain a line of credit from a credit card company.

It is a form or borrowing where the beneficiary draws on the credit line that has a particular limit.

Interest that is collected by credit card companies is called finance charges.

Finance charges are usually calculated from your annual percentage rate, the amount withdrawn using the credit card, and the time period.

For example if no cash is withdrawn using the credit card then no finance charge is paid. While the charge increased as amount withdrawn increases.

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