The Finance Blogger


Lowest Rate Credit Card

Lowest Rate Credit CardMany credit cards advertise themselves as being the lowest rate credit cards available. The sad reality is that after the grace period of sometimes three months or longer six months. Most credit cards end up charging the 21.9% rate that is the average of the industry. This is very expensive for many people particularly if they carry a balance on the credit card. Store based credit cards charge even more than 21%, with some as high as 29%! If you carry a balance past your statement due date, the interest charges begin immediately from the day you charged items to your card that have not been paid. Be careful always pay on time to avoid interest and a poor credit rating.

Lowest Rate Credit Card – Credit Card Marketing

Credit cards have a great number of marketing advertising opportunities that they provide to the customers. One of them is low interest-rates for the initial., Particularly when you transfer balances from other credit cards or other loans. This amount will be charged a small or low interest-rate for a short period of time.

Once this grace period is over, the credit card reverts to the normal high interest-rate for unpaid balances at the end of the month. Many consumers find to their surprise that when they make a monthly payment, the majority of the payment is going towards paying the interest particularly if they pay the minimum amount that it’s included or offered on the statement.

Advice for Low Interest Credit Cards

The best advice for when you sign up for a low interest credit card, is to get in the habit of paying the full balance at the end of the month to avoid all interest charges that may accumulate on an unpaid balance. If you can follow this particular strategy your costs for borrowing money will be a great deal lower and the cost of your goods that you purchase will also be much lower as well.

Credit cards are convenient, however they can also get us all in trouble when we use them too much and then cannot repay the balance at the end of the month or on your statement due date. Another excellent approach to take is to limit yourself to a maximum of three credit cards. This generally will make it easier to pay of balance when there are three cards or less to deal with. Also artificially keep the limit on the cards to a minimum to avoid any temptation to charge then up to a high level.

If you can follow these rules, many consumers can keep the debt level at reasonably levels. For more details about sing credit cards, click here.

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