Owning a credit card is a status symbol only until it becomes a liability. Other than attractive features and exciting deals, you must also be aware of fees, charges and interest rates being charged for the card. Monthly interest rate is the most important feature to be considered while selecting a credit card. A credit card with low interest could be a saviour for those who want to clear their debt from an existing credit card or purchase something very expensive. However, the approval process for these cards becomes easier if you have a good credit rating.
Credit cards offering interest rates as low as 1.5% to 2.99% are considered to be low. Given below is a list of some of the low interest credit cards that are being offered in the country:
The Advantage Gold & More Credit Card from SBI comes with a joining fee of Rs.499, regular interest rate of 1.99% and a cash advance fee of 2.5% per month. The card also offers other attractive features such as Cash Point for every Rs.100 spent, up to 2.5% value back with cash points earned from grocery and departmental store shopping and a 50 days credit free period.
The Infinia Card from HDFC is a credit card with a regular interest rate and cash advance fee as low as 1.99%. However, the joining fee and renewal is high at 30,000 at 10,000 respectively. The card does not have a pre-set spend limit and also lets you collect 5 Reward Points with every transaction worth Rs.150.
With absolutely zero joining fee, the Rewards Credit Card from Citibank offers a regular interest rate of 3.15% and a cash advance fee of 2%. It comes with attractive features such as up to 10X Rewards, every time you shop from some popular apparel and department stores.
With zero joining fee as well as renewal fee, Citibank’s First Citizen Titanium card is available with a regular interest rate of 3% and a cash advance fee of 2%. Credit cardholders can avail reward points, vouchers and other first use benefits at some stores.
The ICICI Bank Instant Platinum Credit Card is available at a regular interest rate of 2.49% and a cash advance fee of 2.49%. There is no joining fee or renewal fee on this card. Cardholders can avail interest-free credit of up to 48 days on purchases made using the card.
The Velocity Platinum Credit Card can be availed at a low interest rate of 3.10% pm. Joining fee of Rs.499 is waived for the cardholders of this card. The renewal fee of this card is Rs.499, while the cash advance fee is 2.5%. Other attractive features include a 2.5% fuel surcharge discount in all petrol pumps in India.
The First Citizen Platinum Credit Card from Citibank is available at a regular interest rate as low as 2.5% pm and a cash advance fee of 2%. With this card, you can earn up to 5% on your shopping expenses at Shoppers Stop. Both joining fee as well as renewal fee of this card stands at Rs.1500.
Citibank offers the Jet Airways Titanium Credit Card with 2.5% regular interest rate per month and 2% cash advance fee. The card comes with a facility to earn double JPMiles on Jet Airways tickets. On this card, you can earn 1000 JPMiles for every first time use of the card each year.
The Advantage Platinum Credit Card from SBI can be availed at a low interest rate of 1.99% pm and a cash advance fee of 2.5% pm. Although both joining fee and renewal fee is quite high at Rs.2999, you can earn up to 5X Cash Points from your shopping at Departmental Stores, Dining or International spends.
With a regular interest rate as low as 2.49% pm and cash advance fee at the same rate, the Instant Gold Credit Card from ICICI Bank is a great choice if you are looking for credit cards with low interest rates. It does not require any joining fee, neither does it have any renewal fee, making it all the more affordable.
The SBI Advantage Plus Credit Card charges a meagre joining as well as renewal fee of Rs.500. It also comes with the minimum regular interest rate of 1.99% pm and a 2.5% pm cash advance fee. Additional feature includes a credit free period of 50 days.
With absolutely zero joining and renewal fee, the TATA Empower Credit Card comes with a low regular interest rate of 3.35% pm and 2.50% pm. Along with the affordable charges on the card, cardholders can avail up to 4% value back at Tata stores and its partner stores and products.
HDFC Regalia Credit Card:
At a low regular interest rate of 1.99% pm and a 2.5% cash advance fee, this luxury card makes an attractive deal. Offered by HDFC, the Regalia Credit Card requires cardholders to pay a joining fee of Rs.2500 and a renewal fee of the equivalent amount. Additionally, it grants a welcome benefit of 2500 Reward Points.
HSBC Platinum Credit Card:
The HSBC Platinum Credit Card comes at a regular interest rate of 3.10% and 2.5% cash advance fee, per month. Cardholders can also get 8000 Reward Points as a welcome gift. Apart from these charges, the card incurs a joining fee of Rs.6000 and a renewal fee of Rs.2000. The card’s Reward points can be redeemed for air mileage points.
HSBC Gold Credit Card:
Cardholders of HSBC Gold Credit Card can enjoy a low monthly interest rate of 3.3% and a cash advance fee of 2.5%. HSBC does not require any joining fee for this card, however renewal fee of Rs.2000 is charged by the bank at the time of card renewal.
HSBC Classic Credit Card
With attractive features such as Zero lost credit card liability benefit, the Classic Credit Card from HSBC offers a regular interest rate of 3.5% pm and a cash advance fee of 2.5% pm. The card does not incur any joining fee but a renewal fee of Rs.700 is charged by HSBC upon card renewal.
However, there are ways to lower the interest rate on your existing credit cards, they are:
Before you make a choice, don’t forget to compare, research, analyse and then decide on the best credit card for you.