Everything You Need to Know About Credit Cards
Introduction:
Shopping around for a credit card can save you money on interest and fees. There are several questions you should answer prior to applying for a credit card. What are the APR’s? What are the Fees? Does the card offer incentives and other features? All of these questions have to be asked and answered in order to find the right credit card for you in the short and long term.
What are APR’s?
The annual percentage rate “APR” is the way of stating the interest rate you will pay if you carry over a balance, take out a cash advance, or transfer a balance from another card. The APR states the interest rate as a yearly rate. A single credit card may have several APR’s; one APR for purchases, another for cash advances, and yet another for balance transfers. The APR may increase if you are late in making payments. If you carry over a part of your balance from month to month, even a small difference in the APR can make a big difference in how much you will pay over a year. Shop for the lowest annual percentage rate APR you can qualify for. If you pay off your balance every month, which I HIGHLY recommend, the APR is less important because you’re not paying interest. The higher APRs are often hidden in the small print, but the cards with lower APR’s advertise them so as to attract new customers.
