Reading a Credit Card Statement (NGPF)

In reviewing your Summary Account Activity in section #1, you notice FEES CHARGED $69.45. Go to section #8 to see what the fees are for. The fees include all of the following EXCEPT...

• Late Payment Fee

• Balance Transfer Fee

• Cash Advance Fee

• Annual Fee

How much do you currently owe on this credit card?

(Hint: Look in section #2)

• $535.07

• $785.00

• $1,784.54

• $529.57

Before making a payment on this credit card, you go to a bicycle store. Approximately how much can you spend before going over the credit limit on your card?

(Hint: Look in section #1)

• $0, you are already over your credit limit

• $200

• $500

• $2,000

A general rule of thumb is to keep your credit utilization rate at 30% or lower. What is your approximate credit utilization rate for this billing cycle?

(Hint: Credit Utilization Rate = New Balance/Credit Limit)

• 30%

• 50%

• 70%

• 90%

You were charged interest of $6.31 for purchases (near section #8). Why?

• You paid off your entire balance from the month before.

• You had a balance of $535.07 from the previous month and only paid $450.00 so you didn't pay the balance in full.

• You borrowed more than your credit limit and were charged interest on the amount you borrowed over your limit.

• The credit card company paid you interest for the purchases you made on their credit card.

Take a look at section #4 on the statement. How much money can you save in interest by paying $62.00 a month until your balance is paid off versus paying the minimum payment each month until your balance is paid off?

• $3,284

• $9

• $2,232

• $1,052

Although you owe a total of $1,784.53 this month, you are only required to pay a small portion of this to stay in good standing with the credit card company. How much is the least amount you can pay towards this bill this month?

(Hint: See section #2.)

• $62

• $53

• $9

• $0, you don't have to pay anything at this time.