The term upfront pricing refers to the interest rates and limits set for the borrower based on the underwriting and issuance of the credit card.
Lenders use automated technology to set all pricing terms at the start of a relationship with a client.
Two examples of credit card pricing variables are the interest rate and the credit limit.
The upfront pricing method is a risk-based pricing methodology that the credit market uses to price various credit products such as credit cards and car loans.
American Express cards are issued by American Express, a publicly traded financial services company, and are payment cards, credit cards, or prepaid cards.
The average outstanding balance refers to the unpaid portion of any term, installment, revolving or credit card debt that earns interest over a specified period of time.
The minimum monthly payment is the smallest amount of money a borrower can pay on a revolving credit account each month and still be in good standing with the credit card company.
The annual interest rate on a credit card is the annual interest rate that is applied monthly, i.e. the monthly amount charged on the account is one twelfth of the annual annual interest rate.