What is the dollar amount paid for credit called?

Amount Financed: the dollar amount of credit provided to you (this is normally the amount you are borrowing); Total of Payments: the sum of all the payments that you will have made at the end of the loan (this includes repayment of the principal amount of the loan plus all of the finance charges)

Is the dollar amount you pay for credit?

Credit as a loan with a certain limit on the amount of money you can borrow for a variety of goods and services. The total dollar amount you pay to use credit. Generally if you pay your balance before the due date stated on your monthly bill, you do no have to pay a finance charge.

What is defined as the cost of credit expressed as a dollar amount?

“The finance charge is the cost of consumer credit as a dollar amount. It includes any charge payable directly or indirectly by the consumer and imposed directly or indirectly by the creditor as an incident to or a condition of the extension of credit.

What is the periodic charge for using credit?

A utilization fee is a regular, periodic fee assessed by a lender against a borrower. The fee is based on the amount of credit actually used by a borrower in a revolving line of credit or term loan.

What is the minimum payment?

The minimum payment is the smallest amount of money that you have to pay each month to keep your account in good standing. The statement balance is the total balance on your account for that billing cycle. The current balance is the total amount of your most recent bill plus any recent charges.

When you receive goods and services now and pay for them later you are using what?

Credit, as you already know, is an arrangement to receive cash, goods or services now and pay for them in the future.

How is the minimum credit card payment calculated?

And we’re going to assume that your credit card has an annual percentage rate of 22.99% and that the minimum balance is calculated by taking the interest for that period and then adding 1% of your balance, your ending balance of that period. So for example, the interest on the first period is $19.53, and then 1% of $1,000 is another $10.

How much do you need to pay for child care credit?

The total expenses that you may use to calculate the credit may not be more than $3,000 (for one qualifying individual) or $6,000 (for two or more qualifying individuals). Expenses paid for the care of a qualifying individual are eligible expenses if the primary reason for paying the expense is to assure the individual’s well-being and protection.

How are advance payments of the premium tax credit calculated?

You must pay the excess amount back as an additional tax if your advance payments are more than your Premium Tax Credit, but the amount might be limited. Your repayment is based on your household income above a certain threshold that correlates with the percentage of the federal poverty line that your family income falls within.

How does the child and Dependent Care Credit work?

The amount of the credit is a percentage of the amount of work-related expenses you paid to a care provider for the care of a qualifying individual. The percentage depends on your adjusted gross income.