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Low APR can help in saving a substantial amount of the debtor's money. However, getting a credit card with low APR is a task that is easier said than done. There is a list of conditions laid down by the banks, to avail these cards.

Conditions to qualify for low APR’s

A good credit history is the report that keeps all the transactional sessions of a person recorded. If a person has repaid his loan on time and without incurring any default or delay, then he is sure to score a good credit score. On the other hand, a person who has defaulted in his payment or has a history of late payment, then he will be given a fair or bad credit score. The credit history of the applicant therefore plays an important role in qualifying for low APR rates.

Since the person with a very good credit history will have support for his financial credibility, he will be a favourable candidate to be offered a low APR rate. On the other hand, in the case of a loan applicant having bad credit score there is always the risk of him not being able to repay the loan. Hence, the bank will try to get back the invested amount as soon as possible and will charge higher APR rates.

The annual income and steady employment of the candidate also decides his APR rate. A credit card user with a regular source of income is more likely to pay back his loan amount on time and on a monthly basis. On the other hand a person who has no fixed income source will pose a threat to the banks profitability as the chances of him not paying back the loan will be greater. Similarly, a user with higher income will be a good candidate to offer low APR as compared to the one with lower income. The bank will offer discounts to consumers from whom they are sure to regain the invested money with profits.

The best way to get lower APR loans is to bargain with the lender personally. Be ready with extensive documentation about your personal financial situation, and also a report from the credit agencies in case you have a very good credit score. This will not only decrease the workload of the bank, but will also prove the credibility of the customer.

Finally customers can also bring references of other people. Good references help in lowering the APR significantly.