Credit cards can be an excellent way to pay for things you need or want, but they’re not always the cheapest option. Most credit cards come with fees, such as annual fees and balance transfer fees, and you might even be charged interest on your purchases if you don’t have a high enough credit score or otherwise qualify for the lowest rate on the market. If you want to make sure your credit card doesn’t cost more than it should, use these five tips to apply for a low rate credit card with Great Southern Bank.
Know your credit score
Credit card companies use your credit score, which is based on your payment history and the amount of debt you have, to decide what interest rate you’ll pay. A higher credit score will likely result in a lower interest rate. Most cards range from about 10% APR for those with excellent scores, all the way up to 29.99% APR for those who are in serious credit card debt.
If you’re planning on applying for a card, you must know your credit score before starting the application process so that you can get an idea of what kind of card is best suited for your needs.
If you want to apply for a low rate credit card, there are 5 things you can do. First, you must have excellent credit. Second, know the interest rate on the card and make sure it is lower than any other cards you have.
Third, find out if there are any annual fees associated with the card. Fourth, look for an introductory period where your rates will be reduced. Fifth, get everything in writing because this ensures that there will not be discrepancies later on down the line.
Check for balance transfer offers
Balance transfers are an ideal way to lower the interest rate of your credit card. These offers have been offered by many banks for years and are still prevalent in the market today. There are certain steps you need to take before applying for a balance transfer offer. The first step is checking your credit score. This will help you find out if you’re eligible for this type of offer or not.
Consider a secured credit card
If you have bad credit and are looking for a card, consider applying for a secured credit card. Secured cards require an upfront payment of at least $200 to open an account. Once your account is opened, the bank will issue you a credit limit (usually around $500) that you can use. Keep in mind that if you don’t make your monthly payments on time, the bank may take money from your account to cover the balance.
Read the fine print
Don’t apply for too many cards at once. The first thing to do is compare the terms and conditions of each card that you’re interested in. It’s wise not to apply for more than three or four cards in one day, as the credit bureaus will see this as an indication that you are desperate for credit and they may refuse your application.
When you’re going to apply for a low rate credit card with Great Southern Bank it can do wonders for your credit score and your monthly budget. If you have decent credit, getting approved is usually easy, but even if you don’t, there are still options available. First off, make sure that you’re not opening any other new lines of credit while applying for the card- creditors will see this as irresponsible behavior and might turn you down right away. Next, be honest with yourself about how much money you’re spending each month on your current card, if it’s more than $500 per month, then it might be time to look for a new one with a lower interest rate.