If you’re the type of credit card user who rolls a balance from month to month, a low interest credit card is essential. No longer will you find credit cards with 5% APR, but you also don’t have to settle for 34.99%.
Many of these low interest cards aren’t just low interest, either. They come with other benefits that make them very advantageous. Some offer a cash back bonus or ongoing rewards, which is great. Others offer a balance transfer arrangement, which is helpful if you’re trying to get out of debt faster by carrying less interest.
These low interest cards are great options for any credit card user, but they’re particularly useful if you’re planning a big purchase that will take a few months to pay off.
1. Chase Freedom
The Chase Freedom Visa offers 0% introductory APR for 15 months on purchases and balance transfers. This is a great card for a big purchase up front since it offers a $150 bonus after you spend $500 on purchases within three months of opening your account.
- Cash Back Rewards: This card also offers 5% cash back rewards in rotating categories year-round. Then, you’ll get unlimited 1% cash back on all other purchases. You can also use the online Shop through Chase program to earn a cash back boost.
- Balance Transfers: You can transfer a balance to this card to take advantage of the 0% introductory APR. But the balance transfer fee is 3% of the amount transferred, minimum $5.
- No Annual Fee: This card has no annual fee, so you don’t need to worry about that sneaking up on you.
Bottom Line: The Chase Freedom card is a good card with generally low interest and excellent bonuses.
2. BankAmericard® credit card
The BankAmericard® credit card offers a terrific long-term 0% intro APR on both purchases and balance transfers without charging you on the back-end w/ an annual fee.
- Pricing Details. Card members will receive a 0% intro APR on purchases and balance transfers for 18 billing cycles. After that, the go-to APR becomes 15.24% – 25.24% variable. Balance transfers must be made within the first 60 days of account opening to receive the intro rate.
- Balance Transfers Fee: The card has a balance transfer fee of $10 or 3% of the transfer, whichever is greater.
- No Annual Fee: This card has no annual fee, so you won’t be giving back the savings once a year like many other credit cards.
Bottom Line: The BankAmericard® credit card is a great option for anyone in need of making interest free purchases or paying down an existing balance.
4. The Amex Everyday® Preferred Credit Card from American Express
Right now this card combines excellent bonus rewards, everyday rewards, low fees, and a very reasonable interest rate. Start by earning 15,000 Membership Reward® points after you use your new Card to make $1,000 in purchases within the first 3 months. Then you earn 50% more points when you make 30 or more purchases with your card in a billing period and get 50% extra points on those purchases less returns and credits. There is a $95 annual fee for this card. New cardholders also receive 12 months of 0% interest on purchases and balance transfers.
- Bonus Rewards: Earn 15,000 Membership Reward® points after you use your new Card to make $1,000 in purchases within the first 3 months. Earn 50% more points: Make 30 or more purchases with your Card in a billing period and get 50% extra points on those purchases less returns and credits. Terms and limitations apply.
- Everyday Rewards: 3x points at US supermarkets on up to $6,000 per year in purchases (then 1x); 2x points at US gas stations; 1x points on other purchases. Terms and limitations apply.
- Annual Fee: $95
Bottom Line: This card is one of the most rewards cards with reasonable rates and fees available today.
5. Capital One® VentureOne® Rewards Credit Card
This card is obviously one that features travel rewards. However, if you can qualify, it also offers relatively low APR. You can also take advantage of a 0% APR introductory rate for 12 months on purchases, and there is no annual fee.
- Travel Rewards: If you want a card that offers both low interest and travel rewards, this is a great bet. Get 1.25X miles – unlimited. So that’s 1.25 airline miles per $1 spent on any purchase. You’ll also get a one-time bonus of 20,000 when you spend $1,000 in purchases within the first three months.
- Easy to Redeem: The rewards you rack up with this card don’t expire. You can use them for flights, hotel stays, car rentals, cruises, and other travel-related expenses. And you don’t have to worry about frustrating blackout dates when you can’t use your rewards.
- No Transfer Fee: Unlike the other cards on this list, this one doesn’t offer 0% introductory APR on transfers. However, it doesn’t have a transfer fee. So depending on how quickly you pay down the balance, that could be a valuable perk.
- No Annual Fee: You’ll pay $0 in annual fees with this card.
Bottom Line: The Capital One® VentureOne® Rewards Credit Card is a great option if you want to combine good APR with travel rewards. Get more details on this card here.
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