Finance Charge Calculation Method for Purchase Transactions and Balance Transfer Transactions. 7.2.1 If you pay the Balance shown on a Monthly Statement in full by the Due Date (or if you had a zero Balance on your prior Monthly Statement), you will avoid incurring Finance Charges on Purchase Transactions and Balance Transfer Transactions for the current Billing Cycle reflected on your Monthly Statement. 7.2.2 The grace period for that portion of the Balance that is made up of Purchase Transactions and Balance Transfer Transactions extends to the Due Date. 7.2.3 The Purchase Transactions and Balance Transfer Transactions Finance Charges in a Billing Cycle are computed by applying the Monthly Periodic Rate to the Average Daily Balance for such Transactions. To calculate the “Average Daily Balance” for Purchase Transactions and Balance Transfer Transactions, we (a) take the beginning Balance of your Purchase Transactions and Balance Transfer Transactions on each day in the Billing Cycle (including the Closing Date), add new Purchase Transactions and Balance Transfer Transactions, and subtract Payments, Credit Refunds, Fees, and unpaid Finance Charge, and (b) divide the total by the number of days in the Billing Cycle.
Appears in 18 contracts
Samples: Credit Card Agreement, Credit Card Agreement, Credit Card Agreement
