Be a financial Karen. It's a good thing.

Interest is calculated annually, so what does that mean? If you're taking out a car loan or a mortgage at 3% or 5%, whatever it is, that percentage is charged every year on the amount that you owe. Some people think I'm getting a car for five years, and it's five percent, so that's one percent a year. It doesn't work that way, so just be careful you need to fight for every interest rate savings that you can, and in companies, they have the ability to give you a lower rate if you ask, so you save yourself some money and put more money in your pocket and enjoy life.