If you are one of those people who cannot avoid overspending and as a result carry balances in their credit cards, your best bet lies in securing credit cards that charge lowest rates of interest. There are many companies that offer really low interest rates credit cards and even 0% APR for an introductory period. This is actually a ploy to attract customers as companies start to charge high interest rate once this introductory period is over.
Pay less interest on your balance with lowest interest rates credit cards
If you are planning to make a huge investment using your credit card, it is very reassuring to know that you will be paying a low interest on the balance that you run on your credit card. This is possible only when you secure a low interest credit card for yourself. Also, such a card brings mighty relief to people who are planning to transfer their existing balances on several cards to a new credit card. The thing to keep in mind is to not fall in the trap of card companies that lure customers by offering rewards and discounts. Your main aim when buying a new credit card is to pay minimum money in the form of interest rather than availing these trivial benefits. This is why you must concentrate upon only low APR credit cards.
Low interest rate credit cards are highly sought after
Banks and other financial institutions offer low rate interest cards to their clients who they deem to be highly trustworthy. These are the customers who pay back on time and banks reward such customers by applying really low rates of interest on their balances. Higher your credit score, higher are your chances of securing a low interest rate credit card. Credit card interest rateshardly matter to those who pay their payments within the stipulated time. But these rates hurt those who have a habit of running balances in their credit cards. This is the reason why people are always looking for that elusive zero APR credit card. You have to remember that credit card companies are there to do business. They can offer 0% APR for a limited time period to attract new customers but they have to revert to charging interest on balances running in the accou8nts of their customers to survive in this business.
Improve your credit history before expecting low interest credit card
To become eligible for lowest rate on credit card, you need to improve upon your credit score. This is a long process but eventually yields results when you start to pay your bills on time and fulfill your part of the obligation when availing a loan from banks. Once your current credit history is back in shape, you become eligible to negotiate with credit card companies on interest rates.