Credit card interest calculation method:
1. Credit cards will have an interest-free period. If you repay before the repayment date, no interest will accrue. The same applies to repaying installments on time. There is a handling fee, but if it is overdue, there will be interest (and it is still high interest).
2. The way banks charge overdue interest on credit cards is based on the total amount of the monthly bill, which is called "full interest calculation" rather than on the amount of the unpaid portion. Full interest, also called full penalty interest, means that if you fail to repay in full by the latest repayment date, even if the difference is one penny, you will be charged 0.05% of the full amount of the current bill. Daily interest is calculated, and compound interest is calculated on a monthly basis, which can also be calculated as "interest compounding".
3. Except for Industrial and Commercial Bank of China, Agricultural Bank of China, and Shanghai Pudong Development Bank, which adopt the method of calculating interest on the unpaid portion, other banks adopt the method of calculating interest on the full amount. ICBC is the first bank to cancel the full penalty interest on credit cards.
(1) Pudong Development Zone
Interest is calculated in installments, with an interest of 0.05%. Liquidated damages are charged at 5% of the unpaid portion of the minimum repayment amount. If the minimum repayment amount is within No liquidated damages will be charged if the amount is less than 10 yuan, and there is no upper limit.
(2) ICBC
Interest will be calculated on the unpaid portion. If the minimum repayment amount is not repaid before the due repayment date (inclusive), it will be regarded as overdue and the minimum repayment amount will be charged. A penalty of 5% of the unpaid portion of the repayment will be paid.
(3) Agricultural Bank of China
Interest is calculated in installments, interest is 0.5%, liquidated damages, 5% of the unpaid minimum repayment amount, credit report: as long as you repay enough The minimum repayment amount will not affect your credit score.