Of the two interest rates, the credit card installment interest rate is higher.

The interest on credit card installments is usually higher than the interest on bank loans. Credit card installment business is essentially a high-interest consumer financing behavior. Consumers can simply multiply the advertised monthly interest rate by 24 to get an annualized interest rate that is closer to the actual rate. The credit card installment fee is usually 0.5%. to 2%, while bank loan interest rates range from 6% to 10%.

The nominal interest rate of credit card installments seems to be lower. Due to the existence of installment fees, its actual annualized interest rate will be higher than that of bank loans.