What’s a low interest credit card? How low can that interest be so that it is worth your while? The interest on consumer credit cards varies greatly throughout the industry. As I am writing this article, the lowest rate is six percent, the highest is 23 percent, and the average is 13 percent. Compare these with your existing credit card rate and maybe yours is not so bad after all.
Fresh Cvv is available with low interest rates for the users and the students. You can compare different cards to select the right one. The interest on the credit cards is available as per the requirements of the individuals. There is no bad experience available to the users.
The next step to take is to make sure you understand the purpose behind getting this card. If I already have a card, am I going to extend a credit line, move all of my old balances to the new card, or try saving some money? Is it worth it for me to go through all of the hassle of filling out the application, getting my credit score exposed to the credit inquiries, or facing a possible rejection?
Ask Your Bank for a Lower Rate
Think about this. What if I just ask my current card issuer to lower my rate? It’s easy. Whenever you receive a low rate credit card offer, pick up the phone and call your lender to ask him or her to lower the rate. Chances are, it will work. If they won’t make any changes, switch to a lower APR card.
Here’s an example of how much you can save if you get your rate lowered just by two percent. Say your current balance is $8,000 and the initial APR is 12 percent. In this case, you would pay $3,146 in interest for the life of the loan. If you get a 10 percent rate you would pay $2,392 in interest, which is $754 less.
Got a Low Interest Offer? Read the Fine Print
It sounds attractive, right? But beware because banks invented credit cards to enable them to make money not to provide you with convenience. You could fall into a trap if you’re not careful.
One trap is the zero percent APR introductory offer. The introductory rate usually ranges from six to 15 months. The period varies with different financial institutions. This offer is tempting for everyone. And if you are not reading the fine print, guess what? When the introductory phase is over your new card rate goes through the roof.
The second trap to watch for is the type of interest rate on the card. There is a variable interest rate which means that your card rate can be tied to one of the interest rate indexes and it will go up and down with them. Always choose credit cards with a fixed interest rate. However, don’t forget to read the fine print. These days many card issuers prefer to have the right to change fixed rates whenever they want to.
Another thing is to watch for are balance transfer fees. If you have to pay them, your actual APR will increase from zero percent to whatever the bank decides without your knowledge. Again, you must read the fine print.