credit cards

[gulliver1]

do credit card companies make money on your purchase
as well as charging you interest

[Ethel]

Yes the do - the shops pay an average of 2.5% on every transaction.

[Ethel]

Don't forget the interest is optional - I have never paid interest on my credit cards, nor fees or charges of any kind.

[sandmaster]

They certainly do - small retailers can pay as much as 5%.
But you don't have to pay anything if you use the card wisely and pay it off each month. Not always possible, I know.

[Hermia]

Yes, and American Express charges shops more than Mastercard and Visa which is why lots of shops won't accept AMEX cards.