Are Low Interest Credit Cards Worth It?

Of the most-searched credit card terms in Google, one stands out: low-interest credit cards.

In fact, it’s the most-searched term of any credit card category, including cash back and balance transfer offers.

I just don’t understand why.

Don’t get me wrong, owning a low-interest credit card is valuable for people who need a credit line to manage their finances month to month.

But consumers can do better, can’t they?

Every credit card holder should have three goals:

First — and most important — pay off the balance each month.Even a low-interest credit card can carry an interest rate of at least 10%, making purchases unnecessarily expensive.

Call me old-fashioned, but rather than make purchases for items you can’t pay off, the smart play is to save up, use your credit card to buy the item and then pay off the balance.

Use the card to make safe and secure purchases. In this case, a low-interest credit card is just as good as any other credit card.

As long as your credit card issuer provides protection when buying something in person or online, you should not be held liable for any fraudulent transactions. Just because a credit card is classified as low interest has no bearing on the protection it provides.

Earn rewards for every purchase. There’s not a single low-interest credit card I’m aware of that offers a comparable rewards program to cards like the Discover More Card or Chase Freedom Visa.

Some low-interest credit cards don’t even offer a rewards program, further demonstrating why they’re not the greatest option for consumers.

By signing up for a true low-interest credit card, consumers are giving up on the things they deserve.

Low-interest credit cards serve a purpose in allowing consumers to make emergency purchases if they don’t have cash on hand, but otherwise, a rewards or balance transfer credit card is a better deal.

From rewards cards to — yes — low-interest credit cards, compare rates and rewards from dozens of credit cards in our database.