Interest Rate Trends

How to Read the Average Rate Chart

As their name might indicate, low interest rate credit cards are the ones that offer the lowest rates. To subsidize these lower prevailing rates, these cards typically do not offer many extra perks such as travel rewards, extra-low introductory rates, or cash back. Balance transfer and cash-back cards typically charge higher rates, as seen in the above chart, since credit card issuers have to re-coup the cost of these features.

Note: If you do decide that now's a good time to get a credit card, it's very important to shop around. Check out our Credit Card Reviews and Recommendations... with thousands of card reviews to help you pick the right one.

Where to Compare Credit Card Features?

Today, there are hundreds of credit cards, with thousands of features to choose from... it can be extremely intimidating. The most important thing to ask yourself while you're looking for a credit card is, "Does this card make the most sense for me and my lifestyle?"

For example, don't get a card with a low interest rate if you never carry over a balance at the end of the month. The exact opposite applies for a rewards card. If you carry a balance each month, you'll pay for those rewards many times over in higher interest rates.

Our advice is to shop around for the best deal just like you would for anything else. Credit Karma's Credit Card Reviews is a great place to start.