You have a balance of $15,300 on your credit card with an 18% interest rate (1.5% per month). You pay $200 this month. Did your balance go up or down?

Will fan and medal

Balance went up.

First, calculate the interest that will accumulate for 1 month on your current balance.

15300 * 0.015 = 229.5

Right now, we can stop since it's obvious that $229.50 of interest is greater than the $200.00 you're paying for that month. The new balance on your card will be:

$15,300 + $229.50 - $200 = $15,329.50

If balance is positive you will get $229.5 additionally So total balance will go up.

If balance is negative you charged $229.5 and you will add $200. So total balance will go down.