Low rate credit cards or personal loans, choose the appropriate one

Wednesday, December 1st, 2010

The interest rates on card can vary between companies as well as an individual’s credit rating (anywhere between 0% to around 39% annual percentage rate). But, standard credit cards with low rate of interest are challenging the terms of borrowing. The low-rate cards are posing a challenge even to the personal as well as the secured loan sector with respect to its value.

As the average rate of interest on loans is getting higher each day, the APR’s on the low-rate cards manage to stand out even more. Most card companies offer 0% introductory offers that come with a time frame. It is the same with balance transfers as well as purchases and the interest rates simply skyrocket by the end of the introductory period and standard rates would be applicable from there on. But standard low-rate cards have the interest which stays on until the entire debt is cleared. So it makes sense to stick on to a set low-rate card rather than availing a loan or switching over to a card with 0% introductory period. This way one can pay of f the debt at a pace that is most suitable.

Finance is a matter of personal choice and one has to make the decision as to what could the appropriate route to take. Since it is not a race against time, a low-rate card could work better than a personal or a secured loan. One can pay at a pace that is best suited and avoid paying a higher interest if it takes longer to clear off the debt.

The low-rate cards have far more advantages than the secured or personal loans. For instance, cards don’t have a fixed schedule for payment. If one has unforeseen expenditure one month one always has the option of making the minimum payment and would not be charged and the credit rating would remain intact as well.

One has to basically understand what one expects from the low-rate card. For instance if one wishes to make a huge purchase and cannot afford it, low-rate cards could be the best option to buy and pay in easy installments over a period of time with a minimal rate of interest. Balance transfers are options for individuals who have a huge outstanding balance to pay and when the interest rates are much higher on the other cards. Low-rate cards also offer cash back, travel insurance and redeemable points.

Latest Low APR Credit Card News

Wednesday, October 25th, 2017
Online retailer Zulily is now offering customers a co-branded credit card that allows them to pay for purchases in three monthly payments. The card, issued in conjunction with ...
Wednesday, May 24th, 2017
A new survey indicates that Americans are getting more comfortable with the idea of instant financing when they’re shopping online. Seventy-five percent of folks said they would ...
Tuesday, December 20th, 2016
When your credit card is lost, stolen, or compromised in some way, one of the most annoying things is having to wait for your replacement card to arrive. While you’re waiting, you ...
Tuesday, July 19th, 2016
The prize for Army Credit Union of the Year goes to PenFed Credit Union this year, as the PenFed branch in Fort Hood, Texas is recognized for distinguished service at the Defense ...
Saturday, February 20th, 2016
As 2016 picks up steam and rolls into February and then March, it can no longer really be called a new year. Still, it’s early in the year, and there are surely many surprises ...
Best Credit Offer
Discover it® - Cashback Match™
Check off the cards you want to compare. Then click the Compare link to go to the comparison table.
Consumer Rating: 5 / 5
Horizon Card Services Horizon Gold Credit Card
Copyright © 2001-2017 BestCreditOffers.com All Rights Reserved.

* The BestCreditOffers.com webpage is a free service and an information resource for credit cards and financial products and services available to eligible United States consumers. BestCreditOffers.com does not offer any warranties and is not a direct service. There are no guarantees for approval or offers when applying for a credit card. Please refer to the application if you would like more information on each credit card. When you click "Apply" for a particular credit card, please take the time to review the terms and conditions of the product/service at the issuer's website. All logos on the BestCreditOffers.com website are property of their respective owners.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer. Opinions expressed here are the author's alone, not those of the credit card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuer. Reasonable efforts are made to present accurate info, however all info is presented without warranty. Consult a card's issuing bank for terms & conditions.

BestCreditOffers.com makes every effort to keep information up to date and accurate. However, the information regularly changes and is presented without warranty. Therefore, we strongly recommend all our readers to visit the credit card application page by clicking "Apply Online!" button to review the detailed credit card's terms and conditions. Note that BestCreditOffers.com may be compensated by the credit card issuers when the readers apply for a credit card through this site.

BestCreditOffers.com is an independent, advertising-supported website which receives compensation from the credit card issuers and companies whose offers appear on the site. Compensation may impact how and where products appear on our site, including, for example, the order in which they may appear on the site pages. BestCreditOffers.com does not review or list all available financial or credit offers.

Disclosure: Not an access card.

User Generated Content Disclaimer: These responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.