Should I apply for the credit card with the best interest rate?

About low interest credit cards

Every credit card comes with its own set of offers and features. So is it always best to go with the one that offers the best interest rates? Not necessarily.

Don’t settle for a credit card just because it offers a great interest rate, especially if the rate is just for an introductory period. It is recommended to thoroughly examine all of the terms of a credit card before applying for it.

Under the federal Truth in Lending Act, credit card companies are required to provide full disclosure on the terms of a specific credit card offer. This information is often included on the back of an offer or by following a “terms and conditions” link when browsing an offer online.

The disclosure will include such things as the APR, finance charges, minimum monthly payment required, credit limit, grace period, annual fee, and more.

Information on any special rates that are being offered must also be included in the disclosure. If the card does have an introductory rate offer, the credit card company must disclose how the rate will be determined at the end of the introductory period.

Take the time to fully understand the terms and conditions of any credit card before applying for the card. The information provided can and probably will make your decision an easier one.