Does credit card debt add interest if unpaid?

I had a credit card over 5 years ago that I used and only paid less than 10% of it back. I completely set it aside and forgot about it.

Let'd say my debt was $1000. Now, 5 years later, is my debt still $1000, or did it accumlate interest?

Assuming your balance was $1000, and your credit card rate was 21.9% (Fairly Standard over here), your balance after 5 years would look something like this:

End of---Balance---Int charged
Month 1---1018.25---18.25
Month 2---1036.83---18.58
Month 3---1055.76---18.92
Month 4---1075.02---19.27
Month 5---1094.64---19.62
Month 6---1114.62---19.98
Month 7---1134.96---20.34
Month 8---1155.67---20.71
Month 9---1176.77---21.09
Month 10---1198.24---21.48
Month 11---1220.11---21.87
Month 12---1242.38---22.27
Month 13---1265.05---22.67
Month 14---1288.14---23.09
Month 15---1311.64---23.51
Month 16---1335.58---23.94
Month 17---1359.96---24.37
Month 18---1384.78---24.82
Month 19---1410.05---25.27
Month 20---1435.78---25.73
Month 21---1461.98---26.20
Month 22---1488.67---26.68
Month 23---1515.83---27.17
Month 24---1543.50---27.66
Month 25---1571.67---28.17
Month 26---1600.35---28.68
Month 27---1629.56---29.21
Month 28---1659.30---29.74
Month 29---1689.58---30.28
Month 30---1720.41---30.83
Month 31---1751.81---31.40
Month 32---1783.78---31.97
Month 33---1816.33---32.55
Month 34---1849.48---33.15
Month 35---1883.24---33.75
Month 36---1917.60---34.37
Month 37---1952.60---35.00
Month 38---1988.24---35.63
Month 39---2024.52---36.29
Month 40---2061.47---36.95
Month 41---2099.09---37.62
Month 42---2137.40---38.31
Month 43---2176.41---39.01
Month 44---2216.13---39.72
Month 45---2256.57---40.44
Month 46---2297.75---41.18
Month 47---2339.69---41.93
Month 48---2382.39---42.70
Month 49---2425.86---43.48
Month 50---2470.14---44.27
Month 51---2515.22---45.08
Month 52---2561.12---45.90
Month 53---2607.86---46.74
Month 54---2655.45---47.59
Month 55---2703.91---48.46
Month 56---2753.26---49.35
Month 57---2803.51---50.25
Month 58---2854.67---51.16
Month 59---2906.77---52.10
Month 60---2959.82---53.05

On top of that, depending on your bank, you would also incur late payment fees, default fees, and a bad credit rating!

Moral of the story - pay it back as soon as you can - the banks are filthy rich as it is, they don't need any more of your money!

And add and adds and adds.But you can usually get them to settle for much less.

Yes, it does add interest. Further credit cards generally have high interest rates - it wouldn't surprise me if your debt has doubled. If you pay off the full amount by the due date, they don't charge interest. However, if money is outstanding they charge interest on the balance. The details should be outlined on the back of your statement.

I am surprised that they haven't taken you to court to recover the outstanding money. I would contact them today and find out the balance - it might shock you and I would start making arrangements to pay it back.

Yeah, it accumulates.

Depends on your stateВґs banking laws, but it is more likely that by now it has accumulated interests and commisions.

Yes it encured interest and the amount charged incured interest. I am sorry , but I do not believe you. They would not let you forget to pay them. You would owe at least $2,797.41 if not more.

YES! take it from someone who knows....

Trust me when i say "THEY DO ADD INTEREST!" My husband had a credit card that he completely forgot about because we stopped using it.It stayed with a balance of about $300.00 (owed)By the time we remembered it,it had accumulated a balance of nearly $500.00! This was just for 6 months alone! It also depends what credit card company you are using as well.You should call your card company soon to see if they gave you a bad report on your credit line as well.I hope i helped you out some.

Yes. Maturity interest. You should contact the company to make payment arrangements. They might be able to work with you and set up a payment plan.

Yes it adds interest the rich wants to get richer.

Are you kidding me?! Credit cards usually have very, very high interest rates. Only two percent of Americans pay their entire credit card bill when it's due. Some accumulate $50,000 of debt. In other words, it's best to pay your entire bill. If you don't have the money to buy something, don't buy it!

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