Get A Credit Card With A Low Interest Rate
Before you choose a credit card it would be wise to first find out the interest rates offered by all the credit card companies and banks. While you compare credit card companies and banks, take note of the ones with low interest rates and offer the best benefits. Dont miss the fine print as that is where the most important information is usually given. Fine prints almost always specify the conditions applied on using their service.
It is generally a wise decision to go with a credit card that has a low interest rate. A low interest rate would almost always mean that using the credit wouldnt eat up your savings.
One of the strategies of many banks and credit card companies to attract members is to offer an introductory low interest rate then hike up the rate after a certain period. It is therefore advisable to inquire how long the initial low interest rate would last.
To switch to them, some credit card companies and banks would waive fees if you transfer balances to them from your old card. The fees asked by banks for transfers are actually interest rates in disguise. Make sure that a low fee, which is equivalent to a low interest rate, is charged to you when transferring or you could end paying much more than you actually have to for clearing your debt.
One thing you could do is pay for balance transfers through pre printed checks. Your best option is to transfer balances to over the phone by calling up the customer service line of the bank or company. Doing such would cost a lot less or nothing at all and because you chose a card with a low interest rate you know your expenses would be lower the next time.
It is al important for you to know that incentives such as short term low interest rate will eventually rise even without due warning from your bank or credit card company.
You could always ask the bank or company to give you a low interest rate provided that you have a decent credit history with the company or bank. If they refuse to give you a low interest rate then you can always switch to a service that offers you a better deal.
Remember to use your credit card wisely. Keep a tab on your expenses while using this card, ensure your dues are cleared regularly and ensure that the low interest rate remain low.
Facts About The APR Of Credit Cards
When it comes to credit cards, the APR or annual percentage rates is always the ultimate source of confusion and chaos for most credit card users. If you dont have a credit card but planning on applying for one or you were just recently approved for a credit card then you must definitely read this article. Everything about APR of credit cards shall be explained so read carefully and remember!
Whats APR? Basically, the APR or annual percentage rate of a credit card is the combination of low interest rates and finance charges. With that said, lets move on to the next topic.
Are There Really Zero Percent (0%) APR Intro Rates And What Does It Mean? Lets say you already own a credit card and youve used up most of your credit already. With a 0% APR intro rate credit card, you can transfer your balance without incurring additional interest.
Nice, isnt it? Also, if youre planning to purchase something but paying it off before the intro period is over then yes, having a 0% APR intro rate credit card is the best option for you. Remember, the keyword here is intro which indicates that this is only something like an introductory offer so dont expect the 0% APR to last forever.
What About Low Interest APR Credit Cards? If youre in search for a credit card with long-time charges then its better to go for a low interest APR credit card rather than one with a 0% APR credit card because the interest rate would just revert to normal for the latter.
Which One Is Better: A Low Interest APR Credit Card Or A 0% APR Credit Card? Well, this question would require you to research a bit but since your decision will ultimately affect your finances then its better to go ahead and research, right?
The first question you have to ask your credit card company is about the length or duration of the intro period if youre interested in availing yourself of a 0% APR intro rate credit card. The intro period usually lasts between three to fifteen months. Anything less is naturally a disadvantage and anything more is preferable.
Ask also about what the APR of the credit card is going to be after the intro period. If the interest rate is higher than the APR of other credit cards that do not offer 0% APR for a certain period of time AND youre not planning to maximize the 0% APR youre given then maybe, its better to simply go with a low interest credit card.
