Credit cards are quite convenient to have and to use but do require you to use them responsibly to avoid getting into debt. Even with proper budgeting and fiscal responsibility, credit cards can become a burden mainly due to the interest rates that are a necessary evil when it comes to credit cards. Some credit cards start you off with a low introductory rate and then increases significantly when the promotional period has ended leaving you in an uncomfortable position if you did not properly plan for the change. One way to avoid this is to avoid the introductory rate hoopla and pay close attention to the final interest rate.
While introductory rates are often too good to pass up, they are usually only for a limited time. This timeframe is usually anywhere between six months to a year which is by far shorter than you are likely to keep the credit card. Think of this introductory rate only as an added bonus to obtaining that particular credit card and not let it be the deciding factor. What you should make your deciding factor is the interest rate that you will be locked into once the timeframe for the introductory rate has expired. Look for low interest credit cards which in most cases are not lost in the promotional hype.
Like with any purchase, you want to get the best deal when it comes to credit cards. The best deal on a credit card is not the promotional rates you might get but rather the interest rate that you will be responsible for after the promotion. Take the time to shop around for the best credit card with the lowest interest rates. This might require a little more time on your part but in the end will benefit you. Read the fine print about the interest rates offered on a particular credit card and be sure that it will not be subject to change after a period of time.
You also want to pay close attention to varying interest rates that may be applied to different uses of your credit card. For example, using features such as cash advances that are sometimes offered by credit card companies will often subject you to higher interest rates than what you would normally pay for making purchases or payments using your credit card normally. Find a credit card with an interest rate that works for you and how you plan on using your credit card both now and in the future.
Interest rates in many cases cannot be avoided when it comes to credit cards but you can shop around to find a low interest credit card that will suit your needs and keep you from paying mountains of extra money in interest. Also, keep in mind that with many credit card companies, if you pay off your balance immediately after receiving your monthly statement you will not be subjected to the interest making this the best solution to avoid interest rates.
