Low Interest Rate Credit Cards

When people compare credit cards, usually the most important factor to take into comparison is the interest rate. The interest rate ultimately defines how much you will pay in interest repayments on your credit card.

A low interest rate credit card is ideal for someone who carries a balance on their credit card account month to month, thus accumulating frequent interest. Even if you do not pay interest regularly, you may take advantage of the 55 day interest free period on purchases.

When comparing low rate credit card offers, there are four key factors to compare:

• The interest rate: This consists of two rates – the purchase rate and the cash advance rate. The purchase rate is the standard variable rate which applies to all your regular credit card purchases and transactions. This is the important rate. The cash advance rate is the rate which applies to any cash withdrawals you make on your credit card. Expect to pay around 19.99% p.a. for the cash rate.

• The annual fee: Simply put, the lower the better. No one likes paying fees. Low interest credit cards annual fees generally sit between $40-$90.

• Rewards and benefits: The majority of low rate credit cards don’t offer a rewards program. Some banks such as Citibank and St.George offer a ‘cardholder discount’ program which is free on all of their credit card offers. These programs offer automatic discounts on entertainment, shopping, retail, travel and more.
• The balance transfer rate: If you have a pre-existing credit card balance, you can transfer your debt with a higher interest rate and repay it as low as 0% p.a.




Best Low Interest Rate Offers




Credit Card	Card Details	Interest Rate (p.a.)	Cash Advance Rate (p.a.)	Balance Transfer Rate (p.a.)	Annual fee	Interest free days (up to)




How much money can a low interest rate credit card offer save me?

The larger you spend and the longer you take to repay, the more savings you’ll have in comparison to a card with a higher rate.

• Repaying a $7,000 balance at 18.99% p.a. over 7 months will cost you approximately $775.42 in interest.
• Repaying a $7,000 balance at 10.99% p.a. over 7 months will cost you approximately $448.75 in interest, saving you $326.67.