Finding a Credit Card with Low Interest Rate is Possible

With all of the changes in the credit card industry, many consumers think they can no longer get a low interest card, even with excellent credit scores. However, there are many  offers out there that feature a low interest rate on a long-term basis. Some cards do offer low interest for only a select amount of time through their promotional offers so it is important to differentiate between the two offers.

Here are some tips to help you find a low interest rate card:

Shop Around

You may get solicitations in the mail for a new credit card but to sign up for only the cards being presented to you can mean you are missing out on other great deals that are more suited to your financial situation. Use the Internet to compare multiple credit cards at one time and find one that is right for your lifestyle and spending habits.

Read the Terms and Conditions

It is very important to read the tiny fine print that accompanies credit card applications. Within the fine print is a ton of the most important information about the credit card. This information discloses the realities of the credit card including interest rates, fees, penalties, grace period, and rewards programs that you need to understand before making a decision about the credit card. Without a careful review of the terms and conditions of each credit card, you may end up with a credit card you can not truly afford or one that offers you no benefits.

Improve Your Credit

When you submit a credit card application when you carry a low credit score, there is little hope you will be granted a low interest rate on a credit card. In order to give yourself the most options, you need to review you current credit score and history to find out how you rank. If your credit score is lower than 730, you should work to improve your score by paying bills on time and disputing erroneous information on your credit report. By boosting your credit score before applying for a credit card, you will have more options available to you including low interest rates.

Finding a Better Credit Card

Consumers often stick with the credit cards they have had for a number of years and do not consider taking time each year to review what else is on the market. If you have had the same credit cards for years, you should check around to ensure you are not missing out on other benefits being offered by other card providers.

If you already have credit cards with interest rates that are higher than you’d like, it may be worth your time to find out what else is available to you. You can likely find a more beneficial credit card for your financial situation at a lower interest rate than the cards you hold now. If you have excellent credit, consider applying for a new credit card with updated terms and better benefits.

While credit cards can hurt your credit profile when used irresponsibly, credit cards can also boost credit scores and solidify credit foundations when used correctly. The best way to use a credit card is to make small purchases throughout a billing cycle and then repay the balance in full before the billing cycle ends. Regular, timely payments can increase your credit score and make you more creditworthy for your other financing needs.