Low interest credit card offer

If you go to your country's bank or check their website you will see that along with the standard VISA credit card offers there are also a wide variety of low interest VISA card offers. These offers consist of concise statements of the main benefits that distinguish that VISA card from the other offers.

This allows you to browse through the offers looking for the one that is the most suitable for your needs. Or if you are already at a bank – you can call them or talk with a person at the till.

 

But remember that the parameters you read are approximations. In a lot of banks around the world for you will be calculated your individual conditions, which are most suitable for the bank.

 

The main benefits that should be listed in an offer is:

 

1. Its APR percentage – should be <12%

 

This is an approximate indicator of the real cost of the credit card. Unlike just the mere interest rate, APR shows estimated average yearly interest rate “equivalent” you really have to pay. That includes:

 

1.1. Yearly fees – should be <$5

 

1.2. And some noble banks might include other deductibles, as transfer cost, transfer commission, ATM commission etc. But usually that is a question of how ready are you to ask everything in every little detail to the bank’s personnel, and/or how ready are you to calculate your real annual interest rate – by trying to estimate your average fees and behaviors.

 

The APR almost always is inversely proportional to your Credit score. (Credit score for you, Consumer credit risk for the bank). The lower you have your credit score – higher will be your APR.

 

2. Credit limit – should be around $1000

 

The amount you can spend with no penalty fees. (Some offers have it defined, that there will Not be extra fees charged if you exceed credit limit, let it be on temporary basis or permanent)

 

3. Transaction fees

 

Transaction fees can be elaborately hidden underneath other terms. If that is not the case than transaction fees can be added in two ways – the old fashion fixed rate per transaction or a percentage of the amount.

 

4. Some options You have on the transparency of your credits (and related costs)

 

4.1. That may be a free checkup of your credit status and related calculations

 

4.2. That may be a free postal bill (or a price for one)

 

4.3. A free or paid option to receive your credit information in an SMS or in your e-mail

 

4.4. Ability to set your own credit limits at your own merits, just as a way to control your behavior.

 

4.5. Ability to deposit money on your card

 

4.6. Ability to ask the bank to loan you a fixed amount of money every month (and related costs)

 

4.7. Etc. In general – if you can think of a way to make a credit card more user friendly, more practical, more attractive, so on. – There is a very big chance that somewhere out there is a card with exactly such a benefit and a combination of them.

 

5. Interest free period – period where You can borrow, and you won’t have to pay any interest on that. That can be a period set by the bank, or a possibility to set such a period yourself “interest free grace period”. You not having to pay back my manifest in two ways

 

5.1. That you don’t have to pay interest on all of your incurred debt

 

5.2. That you don’t have to pay interest on all of your incurred debt form loans you’ve made during that period.

 

5.3 That you don’t have to pay interest on loans made within the period, only during that period.

 

5.4.* But all these benefits can be taken away if you have not fulfilled another condition – for example not reaching credit limit.

 

6. Special discounts – these are discount you get either:

 

6.1. Because Visa Inc. has signed a contract with a merchant

 

6.2. Because Issuer bank has signed a contract with a merchant

 

6.3.* There are discounts which only take place if you have fulfilled a certain condition. For example, you get a VIP lounge card in Heathrow airport (UK), only if you borrow at least $500 monthly

 

7. Pay for gasoline

 

8. Cash Back Programs. Get bank issued point, which you can later exchange for a priority card, a discount card, a voucher, or money in your deposit account.

 

9. Merchant protection. This is the ability to reverse a payment, if a unresolved dispute arises for a product or service you have purchased.

 

10. Financial and other kind of insurance (both as a fixed value and as a commodity which varies depending on your credit card use, and depending on those factors the bank analytics use to rank you in different statistical models. This is where the serious reading starts and in some cases where they place a riddle wrapped in an enigma (W. Churchill)

 

11. And there is a whole other subcategory of low interest VISA cards, whose benefits are targeted at people who travel a lot or wish to travel a lot.

 

11.1. The most famous is traveler’s bonus is to get a point the bank issues, for a fixed amount of money you withdraw or spend. These accumulate and due to contracts banks and global money transfer organization have made with airline companies and airports – use those points to buy yourself a plane ticket for a fraction of the cost it would be if you would buy the ticket form the airline.

 

The bottom line is – first you find out what is available to you locally and Then choose, which offer You would like the most.