It's All in the Numbers: Your Low Interest Credit Card (cont.)
Contributed by Boo Roberts
Do I really want a low interest credit card?
If you carry a balance from month to month, then a low interest credit card is for you. If you pay off your balance each month, then you probably are not that worried about the interest on your credit card. Although, there is never any way to be sure of anything in this world, so sometimes it is good to switch credit cards anyhow. You never know when you may need to carry a balance.
Sometimes you might run a little short at the end of the month, and need to carry some over to the next month on your credit card. You might decide to quit your job and live the life of luxury for a bit on a deserted island drinking margaritas all day and listening to the ebb and flow of the ocean. Although, if you are doing this, you probably have plenty of money and really don't need a low interest credit card. But for some people it is a good idea.
Not that everyone will drop everything and run off on a vacation, but the idea has its appeal. So, to sum up, low interest credit cards are a boon to the credit industry. The long and short of it is, however, that the credit card companies are still making money on you if you are carrying a balance, no matter how small the finance charge.
