Your age doesn't matter: You can get at that money without penalty or even income taxes. Both taxes and the 10% penalty apply to the earnings on your contributions, though, until your odometer hits 59 1/2 and you've had the money socked away for five years (with a few exceptions, below).
The term âcompound interestâ means that any interest charges are added to the principal (which is the amount you originally borrowed) so that your debt grows exponentially. If you have a $100 debt and it accrues 10% interest every month, then the first month you will be charged ten dollars (100 x 0.10).With compound interest, that ten dollars is added to your original debt, so now you have $110 of debt.f you charge the $200 to your credit card, then the amount will show up on your monthly credit card bill and you will have a 30 day grace period to pay it off, after which youâll begin to accrue interest on it.
You can avoid interest on new purchases you make if you pay your entire balance in full each month. This means unless you have a 0% introductory purchase APR, you will pay interest on new purchases if you do not pay the balances you transfer under this offer in full by the first payment due date.hen you request a balance transfer, Discover Card makes a payment to your other creditor(s). Most transfers are processed within 7 days. You should allow additional time for the creditor to receive the funds and credit your other account. Please continue to make payments to your other creditors to avoid late fees.