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When interest is charged


Calculating interest

American Express Credit Cards are a convenient way to pay for everyday purchases. A credit card is a lending product, when you make a transaction using your Card, American Express is lending you that amount. As a Cardmember, you have flexibility when paying your monthly bill. You can choose to pay your balance in full by the payment due date or you can spread your payments out over a longer period of time.

When interest is charged

If you pay your balance in full so that we receive your payment by the payment due date, interest will not be applied to any of your purchases. If you choose to carry a balance, or if we receive your payment late, interest charges are calculated and charged to your account. Interest is charged on balance transfers and cash advances from the day the transaction occurs.

Managing interest charges


How to manage interest charges

The best way to avoid interest charges is to make your payments early or pay your balance in full and on time.

Remember, the processing time varies by financial institution and by method of payment (internet banking, mail, and bank branch). Confirm with your financial institution to ensure we receive your payment by the due date.

Automatic Payment Plans, e.g. direct debits, are a great tool to help ensure you meet your monthly payments.

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How interest is calculated


How is interested calculated on my credit card?

If you have not paid your most recent statement in full, interest is charged on a daily basis on any unpaid balance from the closing balance of the previous month’s statement.

Interest is charged on all new purchases from the date of transaction, when the total current balance is not paid in full on or before the payment due date.