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Preferred Credit

Retail Charge Agreement VT05 R

The filed agreement discloses a purchase APR of 21%. Below: every term the document states, what it leaves out, and how the cost compares with the rest of the database.

Disclosed rates and fees

Every figure below was read from this issuer's filed agreement. Anything the filing does not state is left out of this table rather than shown as zero.

Terms as disclosed in the filed agreement for Retail Charge Agreement VT05 R
Purchase APR21%
Late payment fee$0
Grace period25 days
Minimum interest charge$0.5

Analysis

The Retail Charge Agreement VT05 R filing from Preferred Credit sets out a 21% purchase APR. Against the 4,587 filings on this site, that rate lands around the 46th percentile.

What the document actually states

What follows is drawn entirely from Preferred Credit's CFPB filing for Retail Charge Agreement VT05 R. The filing runs five pages.

Terms captured from the document include 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.

How the purchase rate compares

The purchase APR of 21% places this agreement around the 46th percentile of the set — it lands near the median.

The cost of carrying a balance

At the disclosed purchase APR, $2,000 revolving for a full year costs something like $467 in interest.

Priced at the median of 21.99%, that balance would generate about $492 in a year — so this agreement comes in around $25 cheaper for the same debt.

Month to month it reads as about $34.81 per cycle on that balance.

Treat this as an illustration of what the disclosed rate does, not as a projection of a real account, which would be shaped by payments and by the fees described elsewhere in the filing.

Default pricing

Late payments are capped at $0 under this filing, about the 2nd percentile of late fee maximums in the corpus.

Paying in full

25 days is the disclosed grace period for purchases — the interval in which paying in full costs nothing. That matches the 25-day median across the corpus almost exactly.

Where interest applies at all, the filing bills at least $0.50. On a tiny balance that floor can dwarf the rate itself.

Inside Preferred Credit's filed lineup

There are 124 filings from Preferred Credit in this index. Across that lineup purchase rates span 17.99% to 21.99%; this filing's 21% sits above 80 of the comparable ones.

What the filing does not tell you

Absent from the captured terms: anything about cash advances, balance transfer terms, an annual fee and a foreign transaction fee. The original document is the place to look for any of these.

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

The original filing, 5 pages long, is linked on this page and should be read before any figure here is acted on. It is also a snapshot: issuers refile as terms change.

In short

The pricing here is middling by the standards of the index — 21% on purchases is near enough to typical. All of this rests on figures read from the filing with less than full confidence, which is reason enough to check the document before relying on any of it.

The source document

This page is a reading of one document: the cardholder agreement Preferred Credit filed with the Consumer Financial Protection Bureau. Where the two disagree, the filing is correct and this page is wrong.

Open the filed agreement (PDF)

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Other cards from Preferred Credit

All 124 agreements from Preferred Credit

Where this card sits

Groups this agreement qualifies for, by its own disclosed terms:

Comparable cards from other issuers

Closest disclosed purchase APR among cards in the same groups.