Bank rate generally refers to the credit card charging rate, that is, when using a credit card, a certain amount of fees are charged to customers as the cost of providing settlement services. In other words, the percentage of settlement service fee to the total amount of a single credit card is called bank rate.

Credit card interest rate calculation

No matter what the bank interest rate of the credit card means, no matter how much it is, it is charged to the merchant, which means that as a consumer, it will not pay extra for this settlement service. However, there is another installment rate to pay attention to. It means that when consumers use credit cards to spend money, they choose installment payment to repay the consumption amount. At this time, the bank will charge consumers the service fee and interest generated by installment repayment. Banks often promote credit card installment repayment under the banner of "interest-free", but this does not mean that there is no installment rate, but a certain fee is charged to consumers in the form of hand service fee.