What is Finance Charge and when does it occur?
A finance charge is the sum of the interest, including transaction fees and certain service fees, on your credit card account. If you use your credit card for purchases only and pay the balance in full every month by the payment due date, then you will not pay the interest on those purchases. By paying the entire balance due, not just a part of it, you’ll be taking advantage of the grace period on purchases. If you pay less than the full balance, there is no grace period at all and your entire credit card balance accrues interest.
