Many Low Rate Credit Cards Offer A Variable Or A Fixed Rate Of Interest

Category: Finance, Credit.

Low rate credit cards or as some know them as low APR credit cards can be very great for those individuals that carry a balance forward every month.

This puts the majority of the population out of the market for low rate credit cards. The problem is that most people that really need or want low rate credit cards are unable to receive one because most credit card companies will only offer low rate credit cards to people with above average or excellent credit. These low rate credit cards are out there, you can see them advertised on the television, on the internet and even in your email, you may not, but unfortunately qualify. If you have credit that is less than appealing, you can always negotiate and possibly receive low rate credit cards if you have been employed with the same company for a certain amount of time, and the credit card company believes your income will stay steady. The average rate for low rate credit cards is around 9 percent and some even go as low as 99 percent for certain individuals with an excellent credit rating. However, many companies that offer low rate credit cards also have a pretty hefty annual fee or membership fee, which can be as high as$ 10This can cost you more in the long run that owning a credit card with a higher APR from the start.

You can always discuss these fees with the credit card company to see if they may waive this fee. low rate credit cards may only be for an introductory period. Watch out for those introductory specials as well, just because the low rate looks wonderful, it may only be for 3 months and then the rate can go up drastically to up to 17% . You can even find a few with a 0% APR, the problem is once again that after the special there will be an increase. If you are sure you will be able to pay off your balance before this period is over then it would be a great deal, if you will, however have it paid off you may notice that you will be paying 17% APR on your balance. Some introductory specials for low rate credit cards are for 3 months, 9 months, 6 months, 12 months, and in some rare cases 15 months. Just because, there are low rate credit cards out there does not mean that everything will be cheaper, the balance transfers can be expensive as well at around 3% .

Many low rate credit cards offer a variable or a fixed rate of interest. So, be sure that you read all the terms and conditions carefully before you even apply for low rate credit cards, or choose your Low APR Credit Card. If you choose a fixed rate of credit, this means that the rate will stay the same, with a variable, however interest the rate can fluctuate.