Throughout the last several years, due to incredible competition in the credit card industry, more and more lenders have been creating rewards programs. However, some lenders are noticing that consumers find few things to be more rewarding than lower interest rates leading to lower costs in the first place. Therefore, if you’re not looking for airline miles, gas rebates, and cash back, low interest rate credit cards may just be the best for you.
Aside from the simple curb appeal of low interest rates on your credit cards, comparisons show that if you carry a balance from month to month, you will generally save more money with a lower interest rate card than you would earn with rewards. Therefore, more and more consumers are finding themselves looking for low interest rate offers.
What To Compare with Low Interest Credit Cards
All Rates – When we think of low interest rate credit cards, we generally think of low standard rates. However, if you plan to do a balance transfer or to use your card for a cash advance, the transfer and advance rates are going to be important to you as well. Make sure to compare all rates as in some cases, lenders will make up for low standard rates by raising the interest rate on other types of transactions.
Fees – As you know, each different credit card is offered by a different lender, and under different terms. When looking at low interest rate credit cards, it’s incredibly important to look at the fees like annual fees, foreign transaction fees, balance transfer fees, and more that you may be charged.
Lenders – Being a lender is being a business. Businesses are in it for profit. No matter what industry you’re in, you’ll find that there are some businesses that are obviously there to help consumers and others that are blatantly there for nothing more than the bottom line. When you open a new credit card, you’re doing much more than just opening an account. When you open a new card, you’re starting a financial relationship with a lender. That being said, before starting this relationship, look to see who the lender is, and do your research to make sure that they are a good lender to work with.
Customer Perks – Although most low interest rate credit cards don’t necessarily offer rewards programs, many of them do offer perks. For example, there are cards out there that offer consumers discounts when they purchase specific things on specific websites, or some that offer roadside assistance to all of their customers. The truth is, the list of perks that come with various different credit cards really goes on and on. While you compare, just take a look to see what you can find!
Promotions – Perks to having the card are one form of promotion, but aside from that, many low interest rate credit cards also come with interest rate promotions. You may be able to enjoy 0% interest on purchases or balance transfer for the first short period of time. Therefore, it’s worth your time to look into the different options to see what types of promotions they offer.
Compare Other Credit Card Types
- Airline Credit Cards
- Balance Transfer Credit Cards
- Cash Back Credit Cards
- Gas Credit Cards
- Reward Credit Cards
- Student Credit Cards