1. What is SBI Credit Card Interest?

The SBI Credit Card Interest is calculated on the outstanding principal balance when you don't pay your full credit card bill by the due date. The interest is calculated monthly based on your Annual Percentage Rate (APR).

2. How Does the Calculator Work?

The calculator uses the simple interest formula:

Where:

• \( I \) — Monthly interest (INR)
• \( P \) — Principal balance (INR)
• \( R \) — Monthly interest rate (APR / 12, as a decimal)

Explanation: The equation calculates the monthly interest charge by multiplying your outstanding balance by the monthly interest rate (APR divided by 12).

3. Importance of Interest Calculation

Details: Understanding how much interest you'll pay helps in financial planning and deciding whether to pay off your balance or carry it forward.

4. Using the Calculator

Tips: Enter your current outstanding balance in INR and your card's APR percentage. All values must be valid (balance > 0, APR between 0-100).

5. Frequently Asked Questions (FAQ)

Q1: What is the typical APR for SBI credit cards?
A: SBI credit cards typically have APRs ranging from 35% to 48% per annum, depending on the card type and customer profile.

Q2: How can I avoid paying interest?
A: Pay your full statement balance by the due date each month to avoid any interest charges.

Q3: Is interest charged daily or monthly?
A: While interest is calculated daily, it's typically charged to your account on a monthly basis.

Q4: Does this include any late payment fees?
A: No, this calculator only shows the interest component. Late payment fees would be additional.

Q5: What if I make a partial payment?
A: Interest will be charged on the remaining balance after your payment.