As credit card issuers continue to look for new ways to generate revenues lost from the Credit Card Act of 2009, finding a low interest credit card to make expensive purchases, when saving for the purchase ahead of time is not an option, is becoming more and more difficult. Not too long ago a 6% APR was commonplace among the nation’s best credit cards, but these days that is nothing more than a memory.
Below you will find a short list of low-interest credit cards. If you have any experiences with these cards, or have any other suggestions, please share them in the comments below. I will adjust this list based on recommendations from readers.
PenFed Promise VISA Card. The PenFed Promise VISA offers cardholders a variable purchase and cash advance APR of 7.99% to 16.99% APR based on your credit worthiness. Your APR will vary with the market based on the Prime Rate. Cash advances can be made without a fee. The PenFed Promise VISA does not carry an annual fee and also does not carry a rewards program. In order to submit an application for this card PenFed requires you to be PenFed Credit Union member. To join PenFed Credit Union, you, or someone in your family needs to be associated with the military or the American Red Cross. You can also establish membership status by joining either the National Military Family Association or Voices for America’s Troops with a low one time fee. Be sure to note PenFed Credit Union membership does not guarantee your credit card application will be approved, you will still need to go through the normal credit card application process. An additional note with this card membership you agree to “go green” which means as a PenFed Promise Cardholder you must agree to receive all credit card statements electronically.
Simmons Bank Visa® Platinum. The most vanilla of all credit cards ever created, the Simmons Bank Visa® Platinum card offers cardholders a very low variable purchase APR of 7.25%. That is the only thing worth mentioning about this credit card because there is no introductory offer or a rewards program. The Simmons Bank Visa® Platinum doesn’t have an annual fee.
Capital One® VentureOne® Rewards Credit Card. Capital One is better known for their rewards and with that in mind they do offer the Capital One® VentureOne® Rewards Credit Card, providing cardholders a variable APR of 11.9%-21.9% based on your creditworthiness. In addition to a fairly low APR, for a rewards card, each dollar spent on purchases will net cardmembers 1.25 miles, and when you use your card on purchases made outside the United States there is no foreign transaction fee. The card offers an introductory APR of 0% on purchases until July 2016 after that the purchase APR will vary with the market based on Prime and is currently 11.9%-21.9% variable, based on your creditworthiness. The Capital One® VentureOne® Rewards Credit Card does not carry an annual fee.
Updated August 10, 2015 and originally published September 17, 2010.