I might not give the answer that you want me to

Some people are never happy unless there’s detectable urine in the punchbowl. A Quoran threw this out: Is it true that the median interest rate for credit cards is 21.36%? Is this high-interest credit used by many people?

I gave it a handwave — if you pay it off every month like you’re supposed to, the interest rate becomes irrelevant — but this wasn’t sufficiently literal-minded for this twerp:

The question asks whether many people are using the high interest credit. i.e. whether many people have these cards and do not pay of their balance every month, thus paying these interest rates.

Well, chuck you, Farley:

Card issuers wouldn’t set rates like this unless they expected some people to pay them. Oh, and “median” implies that half the users pay less, and half pay more. It is therefore trivially obvious that some people are paying these rates.

Bloody Belgian.

3 comments »

  1. fillyjonk »

    17 May 2019 · 7:06 am

    Then there are the people who churn from card to card to get the “low introductory rate” and keep moving debt around. Which makes me wonder if that’s partly why the posted interest rates tend to be so high. (I am one of those boring people who pays them off at the end of the month)

  2. CGHill »

    17 May 2019 · 11:33 am

    Eventually, of course, they run out of introductory offers, but you can’t tell them that because they have 760 credit. Then the boom is lowered and they’re looking at a 620 and there’s this balance that must be paid.

  3. The Other McCain »

    17 May 2019 · 9:10 pm

    In The Mailbox: 05.17.19

    […] Dustbury: I Might Not Give The Answer That You Want Me To […]

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