Thanx dave for answering a post about prime, sub, and crime. I'm trying to understand if the the corresponding APR is usually higher because of fees and so forth, why is my APR on the household bank mastercard 44.10% and the corresponding APR is 24.40%? Is it the other way around? Thanks again. kev
RE: not dave. You have incurred other "interest" charges during the month, to make the "effective APR" higher than the actual APR. Ie , if i cash advance $300 out of my capitalone , they will charge like $9 or $10 fee (as interest) for a cash advance. This would change my otherwise effective 19.8% carryover interest for the month on a balance of say $800 from $12 to $22, which (pardon my math it doesnt add up exactly) is the difference between the 19.8% and the 40% relatively speaking. Yearly fees', upgrade options, late charges, cash advances all can alter your effective APR because in fact, they are being charged as added interest items.
