This is a method used by credit card companies that allows the company to calculate interest charges for a particular billing period. It takes into account both the average daily balance of a current billing cycle, and also an average daily balance of the previous billing cycle. A double billing cycle can add a high amount of interest charges when a person’s balance varies greatly month to month.
What’s Better Installment vs Revolving Credit?
Many people need help to optimize their credit usage. They need to understand the differences between installment and revolving credit.