Full yearly example showing how interest is charged month on month

Remember that Amy’s story is just an example to show how compound interest works. With a Barclaycard, you must pay at least the minimum amount each month. If you miss payments, or pay late, you’ll be charged fees. Also, your credit rating could be affected, making it harder for you to get credit in future.

This example is based on Amy not paying anything towards her outstanding balance for 12 months. Note that this example is just to show how compound interest works – it is not related to any specific financial product or service.


Interest (at 1% simple interest charged each month)

Balance each month including compound interest

December £0 £1,000
January £10 £1,010
February £10.10 £1020.10
March £10.20 £1,030.30
April £10.30 £1,040.60
May £10.41 £1,051.01
June £10.51 £1,061.52
July £10.62 £1,072.14
August £10.72 £1,082.86
September £10.83 £1,093.69
October £10.94 £1,104.63
November £11.05 £1,115.68
December £11.15 £1,126.83