How Does a Low Interest Credit Card Work?
Introduction Credit card companies look to entice cardholders by mailing offers for low-interest credit cards. Some companies even offer no-interest credit cards. Before signing up for one of the cards, understand how they work, and read the fine print. Many credit cards are not what they appear to be. Introductory Rate Many of the low-interest credit card offers are for an introductory period. What this means is that after a certain period of time, which can range from 3 months to 1 year, the low-interest rate increases. How much the rate increases depends on the terms of the credit card agreement. If you receive a low-interest credit card offer, make it a habit to read the terms before accepting the card. If you still have questions after reading through the terms and conditions, call the credit card company to have someone explain it to you. Balance Transfers When reviewing the fine print on the low-interest credit card offer, find out if the low rate applies to balance transfers, n
