![]() If you are already carrying some existing debt, you might be interested in a balance transfer offer. Just keep in mind that these cards generally have higher rates – with an average in the Mozo database of 20.21%. Otherwise, if you’re dreaming of a sunny escape, it could also be a good time to rack up some frequent flyer points with a rewards credit card. ![]() If you’re thinking of switching to a new card to cut down monthly fees or pay down existing debt, it could be a good idea to look for a low interest rate. We’re feeling the Winter chill, but the cost of living isn’t headed into hibernation, and many of us have been hitting our credit cards a little harder than normal.Ĭurrently, the average interest rate across all credit cards in the Mozo database is 17.12%. interest rates are a high form of finance.Updated by: Sara Borman, credit cards writer, 1 June 2023 We recommend you consider lowering the credit limit so you can still use but restrict it somewhat so it stays focused on more essential purchases.But watch the fees - our best buys below consider fees and interest rates to ensure you get the best deal. Credit card interest is a killer, so the lower that is, the better the card.When chosen correctly, the right card will maximize your savings available. The trick is to pick a card with a low interest rate, a zero (or very low) fee, interest free terms on balance transfers and some sort of interest-free period for new purchases.Picking the Best Low Interest Credit Card Like any credit card you can avoid interest altogether by clearing your balance in full every month.Most low interest credit cards come with some form of balance transfer, so you get the best of interest-free periods on existing debt and low interest on ongoing debt.It won't offer any perks like rewards, cashback or Airpoints dollars, but the interest rate will be considerably lower.A low interest credit card is exactly what is says. ![]() This guide is designed to help you find the right card and minimise any debt - please follow it carefully.Low-interest credit cards offer something of a safety net from aggressively high credit card interest rates, but they are still expensive to service.There's too much risk and cost to drag balances from month to month. Whatever you do, please repay the balance you spend every month.A low-interest credit card will help, but it's by no means a solution ". Repaying debt isn't easy when you're paying high-interest rates on the money you owe. These tend to be average income earners who have around $5,000 to $10,000 on store cards, Q Card/GEM Visa and/or credit cards, which usually charge around 25% p.a. "I get emails from everyday New Zealanders who can't seem to pay off their credit card debts. We've shortlisted the deals below based on the interest rate and fees". "Banks are picky about who they give out credit cards to, as, after all, it's an unsecured debt they're lending. credit card, it's still extremely expensive and a total waste of money". While this is cheaper than a 20% to 25% p.a. credit card and don't make full repayments, you'll be repaying $650+ a year in interest costs until it is repaid. "Credit card interest adds up - if you spend $5,000 on a 13% p.a. We've published a list below to help you find the right card for you". ![]() However, there are times when the right low-interest credit card will be cheaper than other forms of financing. "There is no 'cheap' credit card - all of the 'low interest' cards available in New Zealand charge above 10% p.a.
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