Saving Money with Low Interest Credit Cards

Credit card companies often a low "introductory" interest rate that carries a variable low interest rate on a credit card. Within a short period of time, the interest rate for such type of low interest rate credit cards will increase and reach a higher fixed interest rate. So even if the introductory interest rate can be very attractive, it may cost you more in the long run. However, if you pay off the balance before the introductory rate expires, you can actually save money with credit cards that offer low “introductory” rates.

There is also another credit card option that may help you save money - fixed low interest rate credit card – which is ideal if you intend to keep a credit card for an extended period of time. With such type of credit cards, the interest rate is not variable and will not fluctuate.

With both types of credit cards, make sure that you make your payments on time each and every month. Late payments can result in a drastic price hike with fixed low interest credit cards. The introductory rate may also disappear as well.

Always maintain a healthy credit record. This is important if you want to get low interest rates on your credit cards because credit card companies often blacklist people with a bad credit history. If you want to fit in the credit card company’s list of potential payers, maintain a good credit score.

Here are some tips and advice to help you obtain a low interest rate on your credit cards.

1. Look for a better deal that will give you some leverage to bargain. You should search for a credit card company that offers a lower interest rate in comparison to the one you’re presently doing business with.

2. Your next step is to contact your existing credit card company to notify them of your intended departure from their business if the interest rate on your credit card is not lowered. Do not mention the other company you have in mind, because they will give you a thousand reasons why you shouldn’t turn to that particular company.

3. If your exiting credit card company cannot fulfill your request, then it’s time to transfer your credit card accounts to the other company. In order to receive a positive response, be positive yourself and show every interest in doing business with them.

4. Make direct inquiries to their office if you do not receive any calls, or if you are not contacted by them within a period of at least a week after you have completed all the necessary procedures and requirements.

5. It is probable that a credit card company rejects your application for a low interest rate credit card, and in such a situation, you should remember that they are required to mention their reason for formality sake. Look for another company and be patient if you want to get the best low interest credit card.