- Although they are providing credit to you as a customer, credit cards are a buyers market. You should be able to negotiate interest rates and annual fees if you are an existing customer or have a good credit history.
- Be careful of cash advances. Not only do higher interest rates apply to them, there is often a transaction fee of 2-3% and interest may be calculated from the day the cash is advanced.
- Most card issuers charge you interest based on the date the money leaves your credit card, but some may base this on the date the transaction took place - up to a week before they pay the retailer.
- Introductory interest rates act as a teaser to gain new customers. Often card issuers will make back this money by charging a much higher interest rate once the introductory period expires - make sure you aren't left with a large balance when the switch occurs.
- Some card issuers are able to offer fantastic credit limits with a low interest rate. Read the small print - some issuers could charge you interest within the first month (sometimes double!) even if you pay off the balance in full at the end of the month.
