Question

Which of the following tells you how much your credit card interest will be if you only pay the minimum balance each month

Answer 1

The answer is Annual Membership Fee.

Answer 2

Annual Percentage Rate

Step-by-step explanation:

When borrowing money, the credit card interest rate is the amount that will be paid.

When the credit card interest rate is being paid on a yearly basis, then it becomes an Annual Percentage Rate.

As said earlier, the Annual Percentage Rate is on a yearly basis, so the actual rate the interest build up will be divided by 365.

For example,

If APR = 10%, then the interest that will be charged is 10%/365 which equals 0.027% (Approximated) interest rate on your outstanding daily balance