Low APR credit cards are offered to consumers who have very good to excellent credit histories. These cards have low interest rates as the name suggests as well as offering many other benefits which you may think of as a reward for your history of fiscal responsibility. These are the most desirable kind of credit card and offer perks which include:

*Up 5% cash back on select purchases
*0% APR introductory periods on many offers
*APRs as low as 7.99% after the introductory period has concluded
*No annual fees
*Rewards programs tailored to your preferences

These are just a few of the benefits available to the users of these credit cards. If your credit history is good, then you can choose from a lot of different offers. Credit card companies prefer cardholders who pay their bills on time each month and keep their balances to less than 50% of their credit limit.

Whenever looking at a credit card offer, you should carefully read the terms and conditions along with the perks and benefits. Doing so will help you to get the best low interest rate credit card. All of the major credit card issuers: Chase Manhattan, Discover and American Express, among others offer low APR cards to consumers who meet the necessary qualifications.

So how good is your credit score? If your credit score is excellent or close to excellent, then you can take advantage of the incredible rewards programs that Chase, American Express, Capital One and Discover provide to people who use their credit cards; a great argument for keeping your credit score high.

Its tough to keep up with all of your payments, making them on time each month – and it can be hard to resist overspending when you have a credit card! Credit card issuers know this too and they show responsible customers how much they value them by offering these low APR credit cards.

As if a low APR wasn’t already incentive enough, these offers provide cardholders with rewards programs which improve on an already good thing, such as cash back (sometimes as high a 20%) on select purchases from retailers all over the country and travel rewards. Travel rewards let you earn points which are redeemable for travel expenses such as car rentals, plane tickets, hotels and more!

Do you have a good credit history? Request a copy of your credit report to find out. If your credit is very good to excellent, then you can apply for a low interest credit card and reap the rewards you have coming for your responsible credit management.

A New Year has brought no promise of respite from the current financial crisis and the credit crunch appears to be still in full swing. With the financial forecast still pretty gloomy as we head into 2009, its chilly winds are affecting not just big business, but ordinary consumers as well. However, a new year opens up a new opportunity to take control of your finances and despite the doom-laden headlines there are still plenty of financial bargains to be had if you know where to look.

The number of 0% credit cards has shrunk noticeably in comparison to January of last year, with the credit card companies tightening up on their criteria and reducing their market exposure and the risk of potential bad debt. Despite this ‘market readjustment’ though, there are still bargains to be had with some banks and financial institutions even advertising ‘Sales’ in a bid to lure in discerning customers. Right now, it is very much a consumers market, and savvy customers can take advantage of a market thats eager to keep its share of the economy. There are still 0% balance transfer cards out there; admittedly they’re harder to come by but they do exist. The major difference to last year is that credit card companies are being much more stringent in their definition of a ‘good’ customer, so it pays to check that your credit history is correct and up to date before applying for a balance transfer card. Even a slight discrepancy could scuttle your chances of successfully taking advantage of the tempting offers that are available. If you have a poor credit history, the first half of 2009 would probably be better spent in addressing this and making sure that when you do apply you have a better chance of being accepted.

There are a few things to take into consideration when looking at balance transfer cards. Firstly, be aware that you will be required to pay a transfer fee to move an outstanding debt from one card to another. This is normally around 3% of the total transfer, but some credit card companies have a minimum fee, regardless of the amount transferred. You need to include this figure in your initial calculations.

Secondly, not all 0% balance transfer credit cards are interest free for purchases as well. This backs up the golden rule of credit card transfers ” never use the card for purchases as well as transfers. The amount you pay off each month on the new card will go to pay off the most recent transactions, rather than the initial balance transfer. So if you use the card for purchases as well you could find yourself running out of time to take advantage of the 0% offer on the initial transfer. It also means that you could end up paying interest on your transfer ” something you wanted to avoid doing in the first place.

Some cards do offer dual functions ” 0% on balance transfers and 0% (usually for a much shorter period of time) on purchases. However, once the purchases deal runs its course, you may discover that the payments you make go to pay off the balance transfer, rather than the interest on outstanding purchases. This is known as ‘negative payment hierarchy’, with payments being used to clear the balances attracting the lowest interest rate first (the remaining time on your 0% balance transfer) and not your recent purchases. This could result in customers paying the full interest charge on purchases (usually around 18% but some can be much higher). It’s the polar opposite of the previous conundrum, but still reinforces the adage ” keep your balance transfers and your purchases on separate cards.

Once you’ve decided (wisely) to keep your cards separate, work out how much you can expect to pay each month and how much you will need to pay to clear off the balance transfer amount before the interest free period ends. Dont forget to factor in additional charges such as insurance (sometimes mandatory), any late payment fees and transfer fees. By taking active control over your finances, you may find the current economic storm much easier to weather. The financial market is subject, like any other marketplace, to greater consumer power these days, and as such a smart customer can take advantage of financial deals, even when the economic future looks somewhat bleak.

The gloomy financial forecast for 2009 shows no sign of improving, if reports in the media are to be believed. Financial institutions are decidedly nervous going into the New Year. The latest Bank of England interest rate cut to the lowest in its 315 year history seems to have had little effect on calming monetary nerves and all reports indicate that the sun has finally set on the era of easy credit. However, consumers still want credit, and they want it at a good rate ” preferably 0% for at least the first few months. Credit card companies are worried about exposing themselves to further potential bad debt, so are there still low rate cards available to those with the credit rating and the desire to keep spending on plastic?

The number of advertisements promoting 0% offers has dropped sharply this year. In comparison to 2008, when the present economic crisis was still an unseen storm on the horizon, there has been very little in the way of New Year, new card promotions, even from the larger providers. This absence of new deals has been noticed not just by the public but by financial watchers as well. The financial organisation Credit Action agree with the evidence and say that credit in general and low rate credit cards in particular are in short supply. They also found that where credit was available it was often more expensive than before. The pundits all agree ” the banks are tightening their belts and their credit criteria.

However, the popularity of credit cards has not diminished and consumers are still on the lookout for a bargain. Chris Tapp, director of Credit Action says that credit cards are a very normalised part of the way people manage and borrow money, which means that its going to be very difficult to persuade consumers to stop using plastic. Add to this the fact that, although High Street sales may be crashing, online purchasing is on the increase with Ebay and other online auction sites seeing a continuing flurry of activity as customers hunt for bargains. All of these transactions (unless you have a PayPal account) are done on credit and debit cards. So the prospect of the British public turning their backs on their credit cards any time soon looks remote.

Leaving aside the question of 0% balance transfers and focusing purely on purchase rates, there are still some cards that give new customers a 0% grace period for a limited period. Once these 0% offers end though, the APR charged on some cards can sky-rocket, prompting an unseemly scramble by many consumers to start card jumping in the hunt for a 0% balance transfer deal. Frequent card jumping is a quick way to send your credit rating nose-diving ” these days the lenders prefer customer loyalty to those who are good at playing the system. In the coming months we may start to see a battle between the leading card providers to keep their customer base stable, rather than going overboard to attract new customers, and that can be backed up by the noticeable lack of product promotion in January.

Rather than chasing after 0% shadows, credit card customers may be wiser to take a more pragmatic approach to this changing marketplace. To paraphrase the quotation, there are now three things certain in life ” death, taxes and interest charges. Credit card customers may find that cards that do charge an APR are easier to access than the 0% offers, as the lenders know they will start to make money from the customer from the beginning of the financial relationship. The best thing customers can do is to look for a relatively low APR rate that doesnt contain any hidden extras such as compulsory insurance payments, handling fees or overpriced late payment fees. Consumers, like businesses, have to adjust their expectations to take into account the overall change in the financial markets.

The Internet has its part to play in the brave new credit card world, and online comparison sites are coming into their own. They give the smart consumer a chance to make an informed decision before they leap blindly into the offer that seems to promise the most financial bling but may have a hidden sting in its tail once the honeymoon period is over. Credit card companies are realizing that there is a groundshift in the marketplace and that, despite the dire financial warnings issued almost daily, the consumer is very much in charge this time around. There are still low rate credit cards to be had, but it all has to be part of a much more symbiotic relationship between customers and credit card companies.

Do you know what the APR’s are on your credit cards?

Many credit card companies calculate APR (annual percentage rate) based on the type of transaction made. In order to keep yourself out of debt consumers need to know the APR of their card along with what additional fees that can occur to make sure they are not digging themselves deeper into debt.

For example, some companies allow their customers to pay their bill by phone – but charge a fee of $1.50 or more to do it! Stay away from paying by phone. Most companies charge for a statement if one was lost in the mail. Others have fees for reviewing statements and answering questions. In the end the telephone may make them more money than pushing the buttons for automated assistance.

All these charges translate into one important action you, as a consumer must take before applying for, opening or accepting any credit card account. You must read and understand all the Terms and Conditions to avoid needless fees and overcharges.

Even though a company may advertise – FREE ONLINE access, you must understand what they mean be FREE. Annual fees are other cost that needs to be carefully evaluated especially since many companies claim to offer NO Annual Fees. Examine your bill every month, the company could not charge for only the first year.

Cash advances are other slippery area for extra fees to creep into your bill. Some have no charges in the cash advance comes from the “in network” ATM. Out of network you could be accessed a $3.00 fee for a cash advance. This makes grabbing $20 a costly adventure. Again cardholders need to be familiar with the Terms