PAYMENTS: Each month you must pay at least the full Minimum Payment Due (Minimum Monthly Payment plus any past due amount) on or before the due date shown on your monthly statement. Your Minimum Monthly Payment is determined based on the highest new balance ("HNB") of your Account, in accordance with the table below or, if the HNB exceeds $1,500, then 3.34% of the HNB. The HNB is the highest principal balance of your Account since it was last paid in full. This means that the Minimum Monthly Payment will not decrease unless your Account is paid in full, but we reserve the right to recalculate the HNB based on returned merchandise or Account adjustments. We can apply your payments to fees and charges or amounts financed in our sole discretion, subject to applicable law. Payments in excess of the minimum will not reduce future Minimum Monthly Payments.