What is the cost of credit?

Read the Overview of Credit on pages 16-18 in the NEFE High School Financial Planning Program. Now read the NIE supplement: Federal Trade Commission Focus on Finances article Paying with Plastic (p. 5). What is the cost of credit? What is APR? What are some of the feed charged? How can you compare the cost of credit? Use the credit calculator on My Florida CFO to calculate the cost of credit. 

SS.912.FL.4.1:Discuss ways that consumers can compare the cost of credit by using the annual percentage rate (APR), initial fees charged, and fees charged for late payment or missed payments.