All You Need to Know About Credit Cards with Low Rates of Interest
May be you are one of those people want to get low interest rates on credit cards but this option isn't available for you. Especially it's true if your credit is doubtful or you have no or a bad credit history. Secondly, if your credit rating is excellent, it is easier for you to get a low interest credit card.
First it's all important to read the fine print on credit card applications, particularly for low interest credit cards. You might notice that the card you are applying for does not have such a low interest rate after all. Oftentimes, this is the case with introductory offers where the interest rate is low for a short time period until it springs up to 15% or 19%, independently if you have been paying on time or not. Also, the supposed short interest may be relevant only to a transferred balance and not to your leverages
What Is More, the rates of interest of decided credit cards are determined according to the prime rate, thus leaving you with an interest rate that isn't fixed. What does this mean for you? Every time the prime rate rises so does the interest rate, leaving you with a higher amount to be paid at the end of the month. This doesn't look like a really beneficial deal for you.
Just how advantageous are these low interest credit cards? They are fantastic until the day you don't pay on time and this special deal becomes a nightmare. If you don't pay on time you will not only be charged an extra fee, but also see your interest rate rocket. As an example, let's say you have a popular credit card that comes with a 7% interest rate. This same card will upraise the interest to 15% if you happen to lack 2 payments during the year. This higher rate can be maintained until you are able to make your payments six months in a row on time.
Paying late can be fatal. In fact, you have to pay a fee for not paying on time and an extra fee for exceeding the limit of your credit card. It's essential to be careful not to miss paying on time or else you will suffer the low interest offered by the credit card.
The bottom line concerning the credit cards with low rates of interest is never leave out a single payment. It's required to always make your payment on time, if you want not to lose your privileged low interest rate.
First it's all important to read the fine print on credit card applications, particularly for low interest credit cards. You might notice that the card you are applying for does not have such a low interest rate after all. Oftentimes, this is the case with introductory offers where the interest rate is low for a short time period until it springs up to 15% or 19%, independently if you have been paying on time or not. Also, the supposed short interest may be relevant only to a transferred balance and not to your leverages
What Is More, the rates of interest of decided credit cards are determined according to the prime rate, thus leaving you with an interest rate that isn't fixed. What does this mean for you? Every time the prime rate rises so does the interest rate, leaving you with a higher amount to be paid at the end of the month. This doesn't look like a really beneficial deal for you.
Just how advantageous are these low interest credit cards? They are fantastic until the day you don't pay on time and this special deal becomes a nightmare. If you don't pay on time you will not only be charged an extra fee, but also see your interest rate rocket. As an example, let's say you have a popular credit card that comes with a 7% interest rate. This same card will upraise the interest to 15% if you happen to lack 2 payments during the year. This higher rate can be maintained until you are able to make your payments six months in a row on time.
Paying late can be fatal. In fact, you have to pay a fee for not paying on time and an extra fee for exceeding the limit of your credit card. It's essential to be careful not to miss paying on time or else you will suffer the low interest offered by the credit card.
The bottom line concerning the credit cards with low rates of interest is never leave out a single payment. It's required to always make your payment on time, if you want not to lose your privileged low interest rate.
posted by ravi at
7:01 PM
0 Comments:
Post a Comment
Subscribe to Post Comments [Atom]
<< Home