can someone figure this out?

i have a balance of $100 on a credit card.
i make a payment of $20.
then later on in the month, i transfered $800 to the balance.
there is a balance transfer fee of $24
the APR is 3.9%.

what should my next bill look like? what will be the finanace charge for that month?

thanks.

 

$906.94

 

can you tell me how you did that? h:

so are you telling me that i have to pay a finance charge of ~$26 every month?

i thought that since the APR is 3.9, you would divide it by 12, and that would be your month finance charge? :thinking:

 

its not $26/mth. i added $24 because you said there was a balance transfer fee of $24.

i got 3.9% = 0.039

$100 - 20 = 80
80 + 800 + 24 = $904

0.039 / 12 = 0.00325

0.00325 * 904 = 2.938

904 + 2.938 = 906.938 = $906.94

 

ohhh i see. so they included that $24 as a finance charge for the first month. so the interest each month is no more than ~$3.

thanks...:happysad:

 

i think thats how they would apply the transfer fee. and the finance charge percentage would remain the same (granted that your 3.9% APR is a fixed rate), and the dollar amount would only vary depending on the balance you carry for that month.