Low interest credit cards

Low interest rate credit cards offer a lower annual percentage rate on balances, which can help reduce your interest costs if you carry a balance from month to month. These cards may have promotional offers such as 0% introductory rates for purchases. After the promotional period, the regular low interest rate will apply. Some low interest rate cards have fees but the interest savings may outweigh the costs, especially if you have a strong credit score.

Learn more about credit scores

A low interest rate credit card might be right for you if you anticipate carrying a balance. Since these cards offer lower interest rates, you’ll likely pay less if you carry a balance compared to other credit cards.

Pay off the full balance by the due date each month to avoid paying interest. With a card that has a 0% APR introductory offer, you'll want to pay off the balance in full before the offer ends.

The Annual Percentage Rate (APR) represents the yearly cost of borrowing money, including both the interest and any additional fees or costs associated with the credit card. The interest rate is the percentage charged on the amount borrowed, not including other fees. Understanding the APR provides a more comprehensive view of the total cost of carrying a balance, while the interest rate focuses on the interest charged on the borrowed amount.

Yes, many low interest rate credit cards offer balance transfer options with low or 0% introductory APRs for a set period. This can help you consolidate debt and save on interest, but be aware of any balance transfer fees and the terms of the introductory offer.

Learn more about balance transfers on credit cards