Guangfa Bank credit card interest is calculated as follows:

If the overdraft is 1,200 yuan, it is divided into 12 installments, and each installment (month) repays 100 yuan, and the handling fee is 0.6%/month, every month The actual deduction is 101200×0.6%=107.2 yuan. If other factors are not considered, the convertible nominal annual interest rate is 7.2%. However, the cardholder does not always owe the bank 1,200 yuan. In the last month, he actually only owed the bank 100 yuan, but the bank still charged a handling fee of 1,200 yuan. .

According to calculations, the true annual interest rate paid by cardholders is approximately 15.48%. According to the correct calculation formula, it should be 1200*6%*(1+6%)^12/((1+b)^12-1)=103.94 yuan, which means an extra 3.2% handling fee will be paid in each period.

Full penalty interest and partial penalty interest are two methods of calculating interest. The method adopted by most banks is to only repay the repayment amount before the repayment date, but not to repay the full amount. Then Not only the interest on the outstanding part must be paid, but also the interest accrued on the entire amount due from the date of consumption to the date of repayment at a rate of 0.5% per day.

Extended information

Guangdong Development Bank Guangfa Credit Card launched the "Bian Niang Xing" interest-free installment payment. As long as a single purchase exceeds RMB 500, you can call 95508 to register for installment payment. The installments of Guangfa Card are 6 months, 12 months, 18 months and 24 months.

Number of installments and handling fee standards:

The handling rates for each installment (one installment per month) for 6, 12, 18 and 24 installments are respectively 0.7%, 0.7%, 0.72% and 0.72%. Guangfa Bank can also handle mailing installment business. The main product providers are Digital China and Founder Technology. The installment method is the same as China Merchants Bank.

In general, the one-year credit card installment fee is lower than the annual cash withdrawal interest of 18% and higher than the bank's one-year commercial loan interest of 5.31%. It is worth mentioning that commercial bank loan interest rates have been reduced several times since last year, but the standards for credit card installment fees and cash withdrawal interest have rarely changed. Although the standards for credit card installment fees vary from bank to bank, the calculation method is roughly the same.

Guangfa Bank: Bill Installment Project Terms Baidu Encyclopedia: Credit Card Installment