10 January 2020
Business
The debt trap of credit card minimum payments
At this point, I’m sure most people believe they fully understand how a credit card works. For those who don’t, a credit card acts as a line of credit up to a set amount, or limit. Purchases made with a credit card are usually subject to a certain interest rate and the cardholder is only obligated to pay 2% of their credit card balance off, per month. Sounds easy enough, right?