- To find the cards offering the lowest fixed interest rates, you'll probably have to do some research. The cards with the best rates are often offered by small local banks, credit unions and online banks. Bankrate.com is a good source to find these cards.
- There are many cards that offer a low introductory rate, also known as a "teaser" rate. Some of these cards even offer 0 percent interest for anywhere from 6 to 15 months. These are usually widely advertised through direct mailings or ads in newspapers and magazines.
- Whether you want a card with a low fixed rate or one with a low introductory rate depends on how you plan to use the card. If you will carry a balance often, you are better off with a card with a low fixed rate, especially if you plan to use it for an extended period of time. That's because you will save on finance charges. If you won't carry a balance, the interest rate doesn't really matter and you can look at other variables, such as whether the card offers reward points or cash back.
- There are a lot of variables to consider when trying to find the right low-interest card. Some cards may charge an annual fee, which may or may not be worth paying. For instance, if a card charges $35 a year, but it carries an interest rate that is a point lower than any other card, it's probably worth paying the fee if you plan to regularly carry a balance. Other cards may offer different low-interest offers for balance transfers and purchases. It's important to match your needs with the offer. For instance, if you take advantage of a low rate to transfer a balance, be wary of also using the card for purchases. Do so because the low rate may not apply.
- It's important to make sure you read and understand the terms of your credit card. Fixed rates aren't always fixed; many times they are tied to the prime rate as set by the Federal Reserve. When the Fed raises rates, the rate on the card may go up.
