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No, credit card interest rates are not going down. The average interest rate for new credit card offers has been on the rise since early 2021, and is currently at 22.76%. For existing accounts, the average interest rate has been increasing for the past couple of years, and is now at 21.19%.
Most credit card rates are variable, and tied to the Prime Rate. This is why any rate increase from the Federal Reserve will typically result in a rise in credit card interest rates as well. However, there are still some low interest credit cards available.
Notable Low Interest Credit Cards
- Rates & Fees 0% Intro APR: Wells Fargo Reflect® CardLearn MoreLearn Moreon issuer's website
- Rates & Fees 0% Intro APR: Wells Fargo Reflect® CardLearn MoreLearn Moreon issuer's website
- 0% Intro APR: Wells Fargo Reflect® CardLearn MoreLearn More
- Balance Transfers: U.S. Bank Shield™ Visa® CardLearn MoreLearn More
- Balance Transfers: U.S. Bank Shield™ Visa® CardLearn MoreLearn Moreon issuer's website
- Balance Transfers: U.S. Bank Shield™ Visa® CardLearn MoreLearn More
- Excellent Credit: Fifth Third 1% Cash/Back CardLearn MoreLearn More
- Excellent Credit: Fifth Third 1% Cash/Back CardLearn MoreLearn Moreon issuer's website
- Excellent Credit: Fifth Third 1% Cash/Back CardLearn MoreLearn More
- Rewards: CoreFirst Bank & Trust Visa Platinum CardLearn MoreLearn More
- Rewards: CoreFirst Bank & Trust Visa Platinum CardLearn MoreLearn Moreon issuer's website
- Rewards: CoreFirst Bank & Trust Visa Platinum CardLearn MoreLearn More
- Rates & Fees Cash Back: Wells Fargo Active Cash® CardLearn MoreLearn Moreon issuer's website
- Rates & Fees Cash Back: Wells Fargo Active Cash® CardLearn MoreLearn Moreon issuer's website
- Cash Back: Wells Fargo Active Cash® CardLearn MoreLearn More
- Rates & Fees Bonus Rewards: Chase Freedom Unlimited®Learn MoreLearn Moreon issuer's website
- Rates & Fees Bonus Rewards: Chase Freedom Unlimited®Learn MoreLearn Moreon issuer's website
- Bonus Rewards: Chase Freedom Unlimited®Learn MoreLearn More
- 0% Intro APR:
- Balance Transfers:
- Excellent Credit:
- Rewards:
- Cash Back:
- Bonus Rewards:
If you don’t want to deal with rising interest rates from credit card companies, you have options. For instance, you can avoid interest charges completely by paying your credit card balance in full every month. If you already have a balance that you can’t afford to pay off right away, consider looking for a 0% APR balance transfer credit card. It could give you a break on paying interest and help you pay down your debt faster.
People also ask
Will my credit card interest rate go down as my credit score goes up?
No, your credit card interest rate will not go down automatically as your credit score goes up. However, if your score has improved significantly, you could try contacting your bank and negotiating a lower rate. Note that the interest rate is determined based on more than just your credit rating. Banks look at your credit utilization rate, income and overall credit history.
How to Lower Your Credit Card Interest Rate
- Negotiate with your credit card company: Once...
What credit card companies lower credit card interest rates?
Most credit card companies are likely to lower your credit card’s interest rate if you ask, including Capital One, American Express, Chase, and Bank of America, according to reviews online. However, if you’re trying to get a better APR on your credit card, don’t take this list to be exhaustive.
Theoretically, you can call any credit card company to ask for a lower interest rate. Each issuer has its own criteria for approving such requests, often based on your credit...
read full answer by Elijah Nash, WalletHub AnalystDid we answer your question?
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