In this video, we explore compound interest, what it is, examples of compound interest, and how to remove yourself from this snowball effect.
What is Compound Interest?
If you have a credit card, compound interest is when you’re not just paying on what you borrowed, but also paying interest on the interest that has already been added to your balance.
In simple terms, your debt is accruing more debt. Even if you stop using your card altogether, interest is still compounded if you have credit card debt.
