Gift Credit Cards - Interest Rate

Interest Rate

Ask what the card's APR is, and if the annual fee is included in the calculation. With credit cards, the annual fee is often excluded. In that case, the APR will tell you what the regular rate is after a teaser rate ends. Ask how interest is calculated, and what events would automatically escalate the rate to the ceiling rate. You should also determine the interest rate on cash advances or charges that exceed your borrowing limit. Generally, these rates are at the ceiling rate. It is customary for no grace period to be provided for either of these kinds of charges.