With only a part$-$time job and the need for a professional wardrobe, Rachel quickly maxed out her credit card the summer after graduation. With her first full$-$time paycheck in August, she vowed to pay $$280$ each month toward paying down her $$9,928$ outstanding balance and not to use the card. The card has an annual interest rate of $12$ percent. How long will it take Rachel to pay for her wardrobe? Should she shop for a new card? Why or why not?

Note: Round intermediate computations to at least five $(5)$ decimal places.

If Rachel continues to pay $$280$ per month, it will take her months to pay for her wardrobe. $($Round to the nearest month.$)$

Should she shop for a new card? Why or why not? $($Select the best answer below.$)$

A$.$ As a typical credit user, Rachel might consider finding a card with the lowest possible interest rate and doing a balance transfer. If a new, lower interest card would be her only new credit, she could save interest and possibly increase her credit score because her $$9,928$ balance would represent a lower percentage of her total available credit. However, she should be cautious of acquiring too much new credit or of closing the existing account$$both factors could lower her credit score.

B$.$ As a typical credit user, Rachel might consider finding a card with the lowest possible interest rate and doing a balance transfer. If a new, lower interest card would be her only new credit, she could save interest and possibly increase her credit score because her $$9,928$ balance would represent a lower percentage of her total available credit. She would not need to be cautious of acquiring too much new credit or of closing the existing account$-$neither factor would lower her credit score.