What's Your Idea of a
Low APR Credit Card?

A fixed rate credit card has an annual percentage rate that does not fluctuate. It is not based on the U.S. Prime rate nor the LIBOR rate. There is an exception. It may increase if you go in default of your credit card agreement by making late payments or going over your credit line. Fixed rates are no longer common rates offered by credit card issuers. You do occasionally find one but not very often. The most popular fixed rate that I'm sure you've heard of is a 9.9% offered by a few companies on their basic credit cards. See where you can still find a low fixed rate credit card.

The annual percentage rate most credit card issuers use is a variable rate. A variable rate fluctuates with the U.S. Prime rate or the LIBOR, depending on the credit card. To determine a variable rate, your credit card issuer will add a "margin" to the rate index. For example, U.S. Prime Rate + 3.9% = an APR of 12.15%. That would be based on a Prime rate of 8.25%. Variable rates based on LIBOR are calculated in the same manner.

The U.S. Prime rate and the LIBOR both change from time to time, depending on the economy. This fluctuation is what causes the Annual percentage rate on your credit card to change. Most credit card issuers review these index rates monthly and apply them to your APR within a few days. As you can see, a variable rate may work in your favor. If the index rates go down, so does your annual percentage rate. Unfortunately, they have increased over the last few years.

Most low APR credit cards offer and introductory rate. An introductory rate allows you to make purchases for a specific number of months at a low annual percentage rate, if not 0%. These special offers last anywhere from a month to a year or more. Each credit card issuer may offer an introductory rate as a teaser to acquire new accounts. Keep in mind, after the rate is over your balance will increase to your standard APR. If you don't have your account paid off, you may be stuck paying more money for those purchases than you thought.

Don't get introductory rates confused with balance transfer offers. Some credit cards allow you to move money from existing accounts you have to a new card at a lower rate. This low rate may or may not be the same rate on your purchases. Some banks offer a low rate on balance transfers, while giving a high rate on purchases. Others may have both the same introductory rate on balance transfers and purchases. Make sure to always keep a copy of your credit card solicitation when you apply, in case there is any question in the future.

Whatever you want a fixed rate or variable rate, the best low rate personal credit card I suggest is through Pulaski bank. There are many credit cards to choose from that offer low rates, through. You may like one through a larger bank or even one from a credit union. See what to search for in the best low rate credit card. Some additional credit cards that I have found with advertised rates lower than 12.99% are listed below. Select the card names to get a detailed review of the specific card. You can also compare some cards with advertised rates lower than 10.99% by selecting the link below.

Good luck on your search for a low APR credit card. I hope you have found one here that sparks your interest. My best suggestion is to always pay off your credit card balances in full each month. If that's not possible though, a low APR credit card is the best way to go. Contact me if you have questions concerning low rate cards.

How do you lower the interest rate on your credit cards? Consider the options shown here. If all else fails, applying for a lower rate credit card may be your best bet.