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Low Interest Credit Cards

For the many of us that carry a balance from month to month on our credit cards, finding a card with a low interest rate can save a surprising amount of money each year.

Low Interest Card or Reward Card?

Even if you only carry a balance for a few months of the year it can still make a difference. Reward cards can be very tempting but if that means a higher interest rate you could be losing more money in interest payments than you are gaining with cash back or reward points.

If any of the cards you are thinking about have an annual fee, don't forget to take this into account when working out which is the best card for you. It may, for example, work out cheaper to pay an annual fee on a card with a lower interest rate than pay a higher interest rate on a card with no annual fee. This will depend, or course, on the difference in the interest rates and how much of a balance you expect to have on the card.

A number of cards offer low long term interest rates. Others have low introductory rates on purchases and then revert to a higher rate once this period has ended. Which type of card is right for you will depend on your circumstances.

Low Introductory Rate Credit Cards

	Introductory Rate	Standard APR	Annual Fee	Application
GM Card	0% p.a. on purchases and balance transfers for 5 months	Typical 14.9% APR Variable	None	Details

Low Interest Credit Cards

	Introductory Rate	Standard APR	Annual Fee	Application
Virgin Credit Card	None	Typical 15.9% APR Variable	None	Details
American Express Nectar Card	None	Typical 12.9% APR Variable	None	Details
Cahoot Card	None	Typical 11.8% APR Variable	None	Details