The higher your interest rate and balance on your credit card, the higher your finance charge will be. Finance charges are a convenience cost and can be avoided by paying your balance in full before the grace period ends. If you have disputed billing errors, you don't have to pay a finance charge on the disputed amount while it is being investigated. Your credit card agreement may include a minimum finance charge that's charged anytime your balance is subject to a finance charge.
You may have different finance charges, if you have different types of balances on your credit card. For example, you could be billed for a finance charge on purchases and a finance charge on cash advances separately. This is because these balances often have different interest rates and grace periods.