Retail Charge Agreement/ Security Agreement

Preferred Credit's filed agreement for Retail Charge Agreement/ Security Agreement discloses a 21.99% purchase APR. That purchase rate ranks near the 49th percentile across this corpus of 4,587 filings.

What this filing discloses

Preferred Credit filed this agreement for Retail Charge Agreement/ Security Agreement with the Consumer Financial Protection Bureau. The filing runs six pages.

The disclosure covers a purchase rate, a late payment maximum and a grace period. No figure appears for a cash advance rate, a balance transfer rate and a penalty rate.

Confidence in the parse of this filing is moderate rather than high, so the figures below are best checked against the original.

The purchase APR against the corpus

Measured against every other filing on the site, 21.99% is about the 49th percentile for purchase APR; it lands near the median.

The arithmetic of revolving

The purchase rate turns a $5,000 revolving balance into roughly $1,229 of annual interest.

The corpus median of 21.99% produces practically the same bill, so on carrying cost this card is unremarkable.

These figures are arithmetic on the disclosed rate, not a quote: they assume the balance is never reduced, ignore any payments, and take no account of fees charged separately.

The no-interest path

Anyone clearing the statement balance inside 25 days pays no purchase interest at all under this filing. That matches the 25-day median across the corpus almost exactly.

A minimum interest charge of $0.50 applies in any cycle where interest is due, which makes very small revolving balances disproportionately expensive.

Default pricing

$10 is the disclosed ceiling on a late payment fee, placing it near the 6th percentile of the set.

Against the rest of Preferred Credit's filings

Preferred Credit has 124 agreements indexed on this site. The issuer's own range is 17.99%–21.99%. At 21.99%, this agreement is dearer than 84 of its siblings.

What you cannot learn from the filing

This page cannot tell you anything about cash advances, balance transfer terms, an annual fee and a foreign transaction fee, because the filing's disclosure table as read does not contain them.

It is worth being explicit about scope: these filings record terms and pricing. They say nothing about rewards programmes, cardholder benefits, promotional offers or who the issuer will approve, and this review does not speculate about any of it.

The document itself

Everything here is a reading of the filed agreement, six pages of it, which is linked above and which governs. Terms also change between filings, so the date on the document matters.

In short

The pricing here is middling by the standards of the index — 21.99% on purchases is near enough to typical. Extraction confidence here is not high, so the conclusions above are provisional on the PDF agreeing with them.