A fuller guide to this term is on the way. In the meantime, the related terms below explain the ideas around it.
Related MoneyPedia terms
- Introductory APRA temporary low or zero interest rate offered on a new card for a limited time before the standard rate takes over.
- Balance Transfer FeeA charge, usually a percentage of the amount moved, that a card issuer adds when you transfer a balance to it.
- Debt ConsolidationCombining several debts into a single new loan or payment, often to secure a lower rate or simplify what you owe.
- Credit CardA card that lets you borrow from a lender for purchases up to a limit, requiring repayment and charging interest on unpaid balances.
- Purchase APRThe interest rate applied to everyday purchases on a credit card when you carry a balance past the grace period.
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Plain-English education — not personalized legal, tax, or investment advice.