00:0037% of Americans do pay off their credit cards month to month, but 12% don't, and they only make the minimum payments.
00:08But check out the effect that this would have and how long it'll take you to pay off just a $5,000 credit card balance.
00:15Assuming the average 22% APR, it would take you 281 months or 23 years, and you would have paid over $8,500 worth of interest.
00:25And depending on how your minimum payments and interest is calculated, if, for example, it's 2% of your balance, which some predatory credit card companies will do,
00:34that $5,000 could turn into $48,000 worth of interest in over 106 years to pay off.
00:42In other words, you'll be paying this for the rest of your life, and in some cases, that debt could grow faster than you'll ever be able to pay it down.
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