What is Performance Based APR?
For those of you stumbling across this in a credit card offer here’s a definition:
“Performance (or Risk Based) APR is a variation on variable APR, but ibased on your payment performance. There is a standard APR when you open the account, but that APR will increase if you are late making a payment. If you are late making a payment more than once within a specified time (usually between 6 and 12 months), the APR may increase again. If the APR has gone up because of a late payment or late payments, it may go back to the standard APR if you are not late on your payments for a certain period (typically one year).”
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