How to choose a Low Interest Credit Card

Consumers often hang onto their existing credit cards without analysing how the interest rate affects how much money they loose on monthly repayments, there are many other existing options that can help you decrease your credit card interest rate.

With interest rates on some UK credit cards as high as 29% APR, a low interest credit card is essential when applying for a balance transfer credit card.

When applying for a credit card, the first thing you should look at is the interest rate on the credit card. Some credit card issuers hide their high interest rates by over emphasising on the 0% balance transfer period, however, you shouldn't pay much attention to this as most credit cards offer similar if not better 0% balance transfer periods, 9 to 12 months in the UK is the standard.
The best UK interest rates are as low as 9.9% and 12.9%, some may require you to have a good credit rating in order to get such low rates, however even without a good credit rating you should be looking at no more than 15.9% Apr.

Another element to consider is the interest rate on new purchases - this especially important to those applying for a credit card without any balance to transfer. Baring in mind that this is offered only for an introductory period, you should be looking for the longest period possible while at the same time considering the interest rate discussed above.

The Halifax One card offers a 12 months period with an interest rate of 12.9%, which may not be the best offer, depending on your preferences. You should shop around for similar or even better offers.

Finding the right credit card can seem like a hard task, but by comparing the factors above, you can work out away to find a credit card with a significantly low interest rate, one which also carries added benefits.