The American Express Platinum interest rate is around 14% to 25% for purchases made using the card’s Pay Over Time feature, depending on the cardholder’s credit history and American Express account history, among other factors. The Pay Over Time feature applies to purchases of $100 or more that Amex approves for a longer payment period. Amex Platinum does not have an interest rate for other purchases because it is a hybrid card, which means a cardholder must pay off all purchases not included in the Pay Over Time balance in full every month.
American Express Platinum also charges a penalty interest rate for late payments of around 29% and a cash advance interest rate in the 25% range. The penalty rate applies if you don’t pay the regular balance in full each billing period. For cash advances, American Express charges interest daily beginning on the transaction date.
Mastercard interest rates are 9.99% to 36%, depending on the card and each applicant’s creditworthiness. Nearly all Mastercard interest rates are variable rather than fixed. Variable rates are tied to an index rate, usually the prime rate that banks use for their most creditworthy customers. Setting specific interest rates is a card issuer’s job, though, not Mastercard’s.… read full answer
Generally, the better your credit history, the better the interest rate. For example, the Bank of America® Cash Rewards credit card interest rate ranges from 13.99% to 23.99% Variable, depending on your credit. Credit card type also affects the interest rate. Most secured credit cards offer a single rate, like the Secured Mastercard® from Capital One: 26.99% (V). Rewards cards like the Citi Premier® Card – 15.99% to 23.99% (V) – often have higher maximum interest rates to compensate for the additional benefits. This could also be a sign that more than just people with good credit can get approved.
Credit cards will always have multiple interest rates. There are separate rates for purchases, balance transfers, cash advances and late payments. Cash advance APRs range from 24.99% to 26.99%. Penalty interest rates for late payments can be a maximum of 29.99%. The Citi Simplicity® Card - No Late Fees Ever doesn't have a penalty interest rates, for example.
If a Mastercard with the lowest possible interest rate is your priority, you may need to look beyond the big banks and explore options from credit unions. Credit unions have specific membership requirements, so check to make sure you’re eligible.
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