Choosing a Card

Do you plan to maintain a balance?

Many credit card users regularly maintain a balance on their cards. Most card users always pay more than the minimum and they shop for the card with the lowest rate in order to minimize the amount of interest to be paid every month. Shopping for the lowest interest rate is generally a good strategy for users who expect to carry a balance from month to month. The exception: if your average balance is less than $1,000, a hefty annual fee on a low-interest-rate card could negate the low interest rate. If you plan to keep your balance small, look for a no-annual-fee card with the lowest interest rate you can find.