Flowers and credit cards are always compared, because both have a long interest-free period. However, once the payment is made in installments, both the flower shop and the credit card will start to charge installment fees. Is the interest rate of Huabai high by stages or by credit card? Let me give two examples to analyze which is more cost-effective: installment interest or credit card interest.

Calculation method of installment interest of flower buds

Total installment interest = total installment principal × total installment interest rate

Interest payable in each installment = total installment principal × total installment interest rate ÷ number of installments.

Calculation method of credit card interest

Fee for each installment = total installment principal × installment fee rate.

Total installment fee = installment fee rate per installment × number of installments.

(Reminder: Due to the different charging methods of banks, some banks charge once a period, and some banks charge once a period. )

Comparative example of installment interest and credit card interest of huahua loan

Example: 1: 1000 yuan is repaid in three installments, and the installment interest rate in Bai Hua is the installment interest rate of credit card. Take the installment interest rate of CCB credit card as an example.

Interest of flower buds in installments: total interest of three installments = 1000 yuan; Interest payable per installment =25/3= RMB.

Installment interest of CCB credit card: total interest of 3 installments = RMB; 1000 yuan

Conclusion: For the same installment amount and number, the installment interest of Bai Hua is higher than that of CCB credit card.

Example 2: 1000 is repaid in three installments, and the installment interest rate in Bai Hua is the installment interest rate of credit card. Take the installment rate of credit card of Agricultural Bank of China as an example.

Interest of flower buds in installments: total interest of three installments = 1000 yuan; Interest payable per installment =25/3= RMB.

Installment interest of ABC's credit card: total interest of three installments = RMB; 1000 yuan

Conclusion: For the same installment amount and times, the installment interest of Bai Hua is lower than that of ABC's credit card.

Because the installment interest rate of flower buds is fixed, but the installment interest rates of credit cards in different banks are different, the types and basic characteristics of credit cards in the same bank are different, and the installment interest rate is also different, so it is generally impossible to judge which is higher, installment interest or credit card interest. If you have to answer accurately, I suggest you use your credit card installment interest rate to calculate the exact value, so the conclusion is correct.