Generally speaking, the handling fee for credit card installment repayment 1 year (12) is lower than the annual cash withdrawal rate 18% and higher than the interest of peer commercial loans 1 year.

Take the 35,000 yuan bill installment as an example. The bill of 35,000 yuan is divided into 12 installments, and each installment repays 29 16.67 yuan. The handling fee is 8.85%, which will be charged once on the first billing day. If other factors are not considered, the convertible nominal annual interest rate is 16.34%.

But the consumer doesn't always owe the bank 35,000 yuan, and her arrears decrease by 29 16.67 yuan every month. In the last month, she actually owed the bank more than 2900 yuan, but the bank has deducted the handling fee at one time according to the arrears of 35000 yuan.

Based on this comprehensive calculation, the actual annual interest rate that cardholders have to pay is about 17.93%, which is about three times the benchmark interest rate of bank loans of 6. 15% in the same period.

Extended data:

Credit card installment payment function:

1, interest-free does not mean free.

Many banks charge fees under the banner of zero interest rate. The handling fee is converted into interest, and the general basic annual interest rate is about 15%.

2. Advance payment should be collected.

If the installment application is completed, these expenses must be borne by the cardholder, and the bank also stipulates that the installment bill should be paid in advance, and the remaining monthly fee is not charged.

3. Minimum repayment amount

If the cardholder cannot repay in full before the due date, he can repay according to the minimum amount of 10% of the consumption amount and other payables specified by the issuing bank.