Interest Rate
Reflects what the bank charges a customer for borrowing money.

Annual Percentage Rate (APR)
This is the annual interest rate you are assessed for borrowing money on a credit card. If you pay the entire purchase balance on your monthly bill on time each month, then you will normally pay nothing (a one-month interest-free loan). Otherwise this rate is applied to your outstanding balance each month.

Credit Limit
The maximum amount you can charge on your credit card. On your first card, the limit is usually small (example $500), so ask for a reasonable amount.

Available Credit
The more purchases you make, the less available credit you have. The amount left (or available) is called Available Credit. Try to make about 20% of your credit limit available for emergencies.

Advances
If you obtain cash from your credit card by using an ATM or walking into a bank, you are taking a cash advance. This is a great feature of your credit card, but there are usually transaction fees and higher APR’s; however not with your FSNB Credit Card. The FSNB Credit Card has no grace period on cash advances.

Purchases
If you go shopping and make transactions through a merchant (such as the PX, BX, AOL, Auto Zone, etc.) you are making a purchase. Purchases usually have a lower APR than Advances and there are no transaction fees.

Other Fees
If in the unlikely situation your payment is late or you exceed your credit limit, you may be assessed a charge. These fees are under your control, but could be quite steep. Research these fees before you sign an application.

Payment Due Date
The date by which you must pay your credit card bill. The date is printed on your monthly statement. Do be on the safe side, send your payment a week before the due date. You have to consider time for mailing and processing. Automatic payments are a good option to consider to avoid late fees.

Grace Period
If you pay your entire bill on time, you do not get charged interest on your purchases (see APR). This interest-free period of time is called the grace period.

Annual Fee
A fee charged for maintaining your account throughout the year and for any special services. Most likely you will be assessed a membership fee if you have no credit on had some problems with your past credit history.

Late Charge
If you do not pay at least a minimum credit card payment by the payment due date, you may owe a late charge.

Overlimit Charge
If you exceed your credit limit, you generally receive an overlimit charge. Again, please be in control of your purchases and cash advances. This fee is in your control.

Monthly Finance Charge
Your average daily credit card balance multiplied by your Daily Finance Charge rate (your APR divided by 365). Your Monthly Finance Charge is calculated on each statement closing date if the balance is not paid in full.

Minimum Finance Charge
Wherever a finance charge applies, the minimum finance charge is $1.00. FSNB has no minimum finance charge.

Secured Credit Card
Credit that requires you to show assets as collateral for approval. Assets include Certificate of Deposits, savings, stocks, bonds or real estate.