I finally looked at my credit card statement line by line...

I was just paying the minimum for months, thinking I was fine. Then my friend in Dallas asked what my interest rate was, and I had to look it up. I saw I was paying $45 a month just in interest on a $2,000 balance. It hit me that I was basically renting my own money. Has anyone else had a moment like that, where you saw the real cost?

3 comments

3 Comments

charles216d ago

What's the actual APR on that card? Mine was 24% and I didn't even blink until I did the math on what that costs per year. It's like a quiet tax for not having the cash up front.

ray_williams6d agoMost Upvoted

But if you pay it off every month it doesn't matter. People act like carrying a balance is mandatory.

ivan7746d ago

The real danger is how it changes your spending habits. You buy things you wouldn't with cash just because you can "pay it off later." That mental shift is the actual cost.