Take Advantage of Low Interest Rates on Credit Cards
Perhaps you want to get low interest rates on credit cards but this option isn’t available for you. This is particularly true if your credit is doubtful or you have no or a bad credit history. Then again, if your credit standing is excellent, it is easier for you to find a credit card with low interest rate.
The single most important thing is to read the fine print before you apply online for gas card, in particular for credit cards offering low interest rates. You might find out that the card you are applying for does not have such a low interest rate after all. This is often the case with introductory offers where the rate of interest is low is low for a short time period before it springs up to 15% or 19%, independently if you have made your payment on time or not. Also, the so-called low interest may be applicable only to a transferred balance and not to your purchases.
Furthermore, the rates of interest of particular credit cards are determined relating to the prime rate, thus going with a variable rate of interest. What does this mean for you? Each time the prime rate rises so does the rate of interest, getting you a higher amount to be paid at the end of the month. This doesn’t seem to be a very advantageous deal.
Now there is the question how to get that low interest rate credit card approval you are looking for? They are really great until the day you lack a payment|don’t pay on time} and this marvellous deal turns into a nightmare. If you lack a payment you will not only be charged an additional fee, but also see your rate of interest rocket. For instance, let’s say you have one of these standard credit card offers that comes with a 7% interest rate. This same card will raise the interest to 15% if you come about to lack two defrayments on the year. This higher rate can be held until you are able to pay 6 months in a row without failure.
Being late can be disastrous. In point of fact, you can be charged a fee for paying late and an additional fee for exceeding the limit of your card. You have to be careful not to overlook paying on time or else you will suffer the low interest offered by the credit card.
The bottom line concerning the low rates of interest of credit cards is never miss a single payment. It’s essential to always pay your bills on time, if you want to keep your exclusive low interest rate.
Written by sillyfrank on March 31st, 2009 with
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