Low Interest Credit Card Offers–Increases In Credit Card Use And Lending Practices By Banks

More consumers are looking for opportunities to acquire various credit cards like low interest rate credit card opportunities, as increased use in credit cards and reports that lending practices by banks have loosened have led many consumers to begin the process of returning to old credit card habits. There are consumers who feel that the economy is progressively improving and, as a result, believe that they are in a financial position where they are secure in their jobs and can afford debts in their personal financial life, but of course, many consumers have become more thrifty due to the recession and are looking into credit card offers that will offer a relatively low and affordable interest rate.

Recently, an article on MarketWatch.com stated that, “Overall consumer credit rose in December for the third straight month,” which obviously bodes well for many retailers and businesses, but there are concerns that consumers may want to implement safer practices in their credit card use. Yet, cardholders who are looking for more affordable credit card options are in a position to take advantage of offers that are being made by many banks to draw more consumers back into the credit card industry as low rates on credit cards and introductory rates that are offering either low interest or no interest options have been quite attractive to consumers over the past months.

Sources like Bankrate.com, report that low interest credit card rates are averaging around 10.90%, but of course cardholders who may be looking for different card options will be in a variety of positions that may afford them a lower rate, better credit card opportunities, or for some who may still be struggling to repair damage done to their credit history, a higher rate may be involved when seeking a line of credit.

Obviously, many banks and financial institutions are beginning to test the waters of credit card lending and other forms of consumer credit, but there are some indications that credit card rates have been creeping higher due to reasons like banks being cautious about offering low rates to just any borrower and restrictions from the CARD Act. Understandably, many banks gain a great deal of income from their credit card business, but as restrictions have put certain fees and limitations on how interest rate increases can be implemented, there are some reports that show interest rates on cards have been edging higher despite low introductory rates and low interest credit card options that may be offered to attract cardholders.

While there are a variety of credit card options being advertised by various financial institutions, consumers who may be looking for a credit card opportunity, particularly a low-interest credit card offer, should essentially shop around for different options that may be available for their personal financial situation, look at fees or other costs that may be associated with the card, limitations that may come when using the card, and make sure that if they are acquiring a card that may have a low introductory rate, look to see what type of costs may be associated with the card after fees increase months down the road.