Debt Interest Calculated Every Day

This is other way to save a lot money such as you use the low interest credit cards. You can save if you pay monthly bill two or three times a month, not one time.

Why? Because your credit debt interest calculated every day. Not every month or every year. Although you receive a bill per month. Meanwhile, the interest rate calculation use the annual interest rate or annual percentage rate (APR).

Therefore, there is a suggestion that you should pay your bills two or three times a month. It has a different effect compare paying once a month. Although the amount to pay the bill is the same.

For example, each month you pay the bill $ 150. But if you paid the amount three times a month, its effect on reducing the balance is different. Reduction of your debt balance is more rapidly compared to paying bills once a month, although using the same amount.

Why is that? Because the interest rate calculation is daily. Not once a month. When you pay bill $50 on May 5, your balance is reduced directly. For example, your balance is $ 500. It will be reduced by payment of $ 50.

For the next payment, the interest is calculated from the balance of $ 450, instead of $ 500. When you pay a bill $ 50 on May, 20, then your balance is reduced again. For the next bill payment, calculation of interest based on balance of $ 400 and so on.

You Can Save by Pay Bill Three Times in One Month

Well, this is what makes difference from the payment once a month and three times a month. Repayment of your balance will be faster by using three times a month compared to once a month.

Therefore, if you want to accelerate the repayment of your debt balance without increasing the amount of the payment, you can use payment three times a month. It is a smart way for saving money.

You do not increase the amount of payment. The amount is still same. But you make payment bill three times. Of course, you have to hassle a little. However, the results are very different.

Are you interested to try it?