Getting a low APR credit card is similar to winning a pot of gold. Appealing though it may seem, low APR cards are elusive options for people who do not have a good credit history and score. There are banks that are willing to offer credit cards at very low rate of interest to people who have been able to consistently maintain a good rapport with them by making their payments on time. But, not all low APR cards are as good as they may seem. If you want to ensure that you get the right card that can work in your favor, then there are a few factors that need to be considered when apply for low APR cards.
First of all, ask the bank if the low rate of interest is applicable only for a certain period of time. There are a number of credit card lenders who claim their cards to be low APR cards, but most of those cards have a lower rate of interest for the first 12 months. After the first 12 months, the interest rate nearly doubles and you end up having to pay more on your purchases. Hence, it is suggested that you opt for cards that offer low APR for the entire lifetime of the card, rather than just for a few months.
The next factor to consider is the various fees and other charges associated with the card. There are lenders who do offer low APR cards, but with features that make up for the loss of interest on the card. Some cards carry very high annual and late payment fees. The financial charges applicable to those cards may also be on the higher side. Hence, compare the low APR card you are planning to apply for with other standard credit cards and confirm if you are actually getting a good deal on the card.
Seek a low APR cards that have other benefits associated with them. If you have a good credit history to your name, finding such cards will not be a tough task. When banks offer you a low APR card, find out if there are any rewards that are applicable on the card. You can even negotiate for rewards if you have a good score. Taking all these facts into consideration before applying for a card that claims to be a low APR card will ensure that you get a fair deal.