Nothing in life is free, including all that credit card debt that you racked up.
If you don’t pay it in full each month, you’ll be running a credit card balance (i.e. debt), which means you’ll owe some interest. You’ll have to pay at least some of that interest now in exchange for running that balance, which is known as a minimum finance charge.
A minimum finance charge is the minimum amount of interest that a borrower must pay for running a balance on their credit card in a given billing cycle. All credit cards have different minimum finance charge rules, so read the fine print if you’re not the pay-it-all-off-every-month type of credit card user.
Credit cards are known for their particularly high interest rates, yet some cards might have no minimum finance charge. Still, you’ll have to pay all of that interest back eventually. Plus, credit card interest is compounding, which means if you don’t pay it back this month, you’ll be paying interest on interest in future months. Fun stuff.