Low Interest vs. Cash Back: Credit Card Questions Answered
Ahh, credit cards. All those offers, tons of fine print... what does it all
mean? Whether you're applying for your first credit card or are a long-time
cardholder investigating alternate options, it's wise to get the facts before
moving ahead with a new plan of action. Read on for anwers to commonly asked
questions.
What's a low interest credit card?
A low interest credit card offers reduced APR (annual percentage rate) for
cardholders with an excellent payment history. If you consistently pay your
total monthly balance, or if you at least pay the minimum payment due on time,
you may be eligible for a low interest credit card. Look into money-saving
options with a low interest credit card!
Exactly how low are we talking?
First-time credit card holders may be required to pay anywhere from
17.999%-23.99% interest on your balance per month. If you've maintained good
standing with your credit card company for at least a year, you may be able to
have your interest lowered to 12.9% or even 10.24%. Click here to view the
many Low
Interest Credit Card Offers currently available.
Are the offers for 0% APR too good to be true?
0% APR Credit Card Offers are real and legitimate promotions that can save you a ton
of cash in the long run. All it takes is a balance transfer from your existing
credit card. Depending on the promotional details, you can enjoy exceptionally
low rates for as long as a full year. Smart consumers know that offers like
these are a great way to start chipping away at that outstanding debt and get
back on track toward financial freedom!
What's a cash back credit card?
A cash back credit card affords solid value to cardholders who pay their balance
every month. Interest rates are typically the highest, but that's not a concern
for a customer who incurs little or no debt. With this type of credit card,
you'll earn rebate dollars which arrive in the form of mailed checks. Free money
back on purchases you'd be making anyway... now that's a wise move.
How much money can I earn with a cash back card?
For every supermarket, gas station or drugstore purchase, typical cash back credit
cards reward 5%. For most other purchases, 1% is given. To put this
in perspective: if you spend $2,000 on merchandise that yields a 5% return,
you'll earn $100 cash back.
When can I expect to be paid?
Credit card companies have now put the ownes on their customers to request
payouts for cash rebates. So make that call or put in that online request during
the time that the card is active, and reap the rewards of a credit card that
just keeps on giving.
No matter which offer you're considering, read the Terms and Conditions and keep
a copy of this information handy. This way, you can take advantage of every
opportunity to save money while building your credit. Before you know it, you'll
be making informed credit card decisions with confidence!
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