How To Know If A Low APR Credit Card Is Right For You
Do you pay your credit card balance off in full every month without fail? Or do you find that some months, it’s difficult to deliver the total amount due, and you need to let some of it ride until next month? Perhaps you can only pay the minimum amount due, as interest mounts with each statement that comes into your mailbox.
If you’re like most of us, there are some times when you just can’t get your credit card balance down to zero. Life happens, unexpected expenses pop up, and having a line of credit is very handy in those circumstances. That’s why a low-APR credit card is essential to have in your financial toolbox.
Why is a low APR important?
The annual percentage rate, or APR, on your credit card is how banks calculate how much interest you’ll be charged if you do not pay your total amount due in a given statement period. The higher the APR, the more interest you’ll pay over time.
Many credit cards offer a zero-interest promotional period when you first get a new credit card. During this time, you’ll enjoy a zero APR on purchases and sometimes balance transfers as well. But once the introductory offer is over, your APR will adjust to the regular rate.
Getting the best deal on interest
The key to securing a low APR on your credit card is first to have good credit. The better your credit, the lower the interest rate you’ll be eligible for. Even average credit is better than bad credit. But no matter your credit score, you can call your credit card issuer and request a lower APR. It may work, or it may not, but it’s worth a try.
Having a low APR credit card is a good idea no matter who you are. Even if you pay off your balance in full each month, you never know when you might forget, or something may happen that necessitates paying interest on your balance. If you have a low APR credit card, you’ll be glad when that time comes. Check your statement, call your credit card issuer, or log in to your account online to find out what your APR is today. Then, if it’s not as low as you’d like, apply for a new low APR credit card and start saving on interest.
Latest Low APR Credit Cards Guides
Of course, everyone knows that the most effective way to get rid of credit card’s interest is to pay off the entire debt before the due date every month. However, this is life, and everything may happen. For example, you can make some major purchase, or you may suddenly need a large amount of money […]
Continue »When choosing a credit card, one of the most important criteria for many applicants, apart from a $0 annual fee and rewards program, is the presence of a 0% intro APR period. In brief, once you apply for a 0% interest credit card and get approved, you can make purchases during the specified intro period, […]
Continue »Even if you are new to the world of credit, you, probably, noticed that some cards’ terms contain the word “Variable” relative to interest rates. Most applicants tend to never pay attention to this addition and have no haziest notion about its exact meaning. However, credit cards with a variable rate are the majority. So what does variable APR mean?
Continue »APR is an annual percentage rate or an interest rate you need to pay on your credit card for certain operations. There are some types of APR: a purchase APR, a cash advance APR and a balance transfer APR. They can either be different or the same.
Continue »Credit cards are great for lots of things: collecting reward points and frequent flyer miles, paying for purchases when you don’t have cash on hand, and shopping online. But one thing no one likes is paying high-interest fees on their credit cards.
Continue »
