Low Interest Rate Credit Cards | The Lowest Rates & Fees

Low Interest Credit Cards

Get some breathing space and financial flexibility by using a low interest rate credit card to cut the amount of interest you pay on purchases when you’re carrying a balance on your account.

People are happy
Rated 4.8 out of 5 for customer satisfaction.
You may have seen us in
My rate: 
17%
 
My annual fee: 
$90
 
Transfer: 
$5,000
 
From: 
All banks
balance transfer
purchase rate
annual fee
Money saved
ING Direct Orange One Credit Card
No annual fee.
Low 11.99% p.a. variable purchase rate and cash advance rate.
Comes with Apple Pay.
More info
Add to comparison
-
11.99% p.a.
ongoing
$0
ongoing
Virgin Money Low Rate Credit Card
Apply by 31 mar 20
4 reviews
Low interest rate of 11.99% p.a.
10% cashback (capped at $100 total) on spend in the first 3 months from card approval.
0% p.a. for 14 months on balance transfers (reverts to cash advance rate). No balance transfer fee.
More info
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14 months
0% p.a.
then 21.69%
with a 0% fee
11.99% p.a.
ongoing
$49
ongoing
 
saved over 14 months
Commonwealth Bank Low Rate Gold Credit Card
Apply by 30 jun 20
13 reviews
0% p.a. on purchases for 15 months (terms and conditions apply).
$89 p.a. annual fee.
Low ongoing purchase interest rate of 13.24% p.a.
More info
Add to comparison
5 months
5.99% p.a.
then 21.24%
with a 0% fee
15 months
0% p.a.
then 13.24%
$89
ongoing
 
saved over 5 months
$0 p.a. annual fee. You can’t get better than that!
Low ongoing interest rates on purchases and cash advances.
Credit limits start at $1,000
More info
Add to comparison
-
11.30% p.a.
ongoing
$0
ongoing
 
saved over 12 months
NEW
Citi Clear Credit Card
Apply by 30 jun 20
16 reviews
Transfer your other banks’ credit card balances and enjoy 0% p.a. for 9 months (reverts to cash advance rate) with no balance transfer fee.
With Priceless Cities, explore unforgettable experiences in more than 40 cities across the world.
As of 01 April 2020, Citi is now partnered with Mastercard.
More info
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9 months
0% p.a.
then 22.24%
with a 0% fee
14.99% p.a.
ongoing
$99
ongoing
 
saved over 9 months
NEW
Westpac Low Rate Credit Card
Apply by 05 aug 20
38 reviews
0% p.a. for 16 months on balance transfers. Reverts to variable cash advance rate.
Low purchase rate of 13.74% p.a..
Up to 55 days on purchases
More info
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16 months
0% p.a.
then 21.49%
with a 0% fee
13.74% p.a.
ongoing
$59
ongoing
 
saved over 16 months
St.George Vertigo Platinum Credit Card
Apply by 02 jun 20
6 reviews
0% p.a. on purchases for up to 15 months from card approval.
$49 p.a. annual fee for the first year ($99 p.a. thereafter).
Low revert rate on Purchases of 12.99% p.a. (ongoing).
More info
Add to comparison
12 months
6.99% p.a.
then 21.49%
with a 0% fee
15 months
0% p.a.
then 12.99%
$49
1st year
then $99
 
saved over 12 months
St.George Vertigo Visa
Apply by 02 jun 20
25 reviews
0% p.a. for 18 months on balance transfers with no balance transfer fee. Reverts to cash advance rate.
Low ongoing variable purchase interest rate of 13.99% p.a.
$55 p.a. annual fee.
More info
Add to comparison
18 months
0% p.a.
then 21.49%
with a 0% fee
13.99% p.a.
ongoing
$55
ongoing
 
saved over 18 months
BankSA Vertigo Credit Card
Apply by 02 jun 20
6 reviews
0% p.a. for 18 months on balance transfers with no balance transfer fee. Reverts to cash advance rate.
Low ongoing variable purchase interest rate of 13.99% p.a.
$55 p.a. annual fee.
More info
Add to comparison
18 months
0% p.a.
then 21.49%
with a 0% fee
13.99% p.a.
ongoing
$55
ongoing
 
saved over 18 months
Bank of Melbourne Vertigo Visa
Apply by 02 jun 20
10 reviews
0% p.a. for 18 months on balance transfers with no balance transfer fee. Reverts to cash advance rate.
$55 p.a. annual fee.
Low ongoing variable purchase interest rate of 13.99% p.a.
More info
Add to comparison
18 months
0% p.a.
then 21.49%
with a 0% fee
13.99% p.a.
ongoing
$55
ongoing
 
saved over 18 months

Prefer to play it safe?

How Lauren from the Gold Coast found her new card

Lauren is not into credit card rewards. She doesn’t have the appetite to understand complicated frequent flyer programs. She values simplicity and playing it safe.

The main reason to get a card is for everyday convenience. If she ever carries a balance from one month to the next at least she won’t be paying much interest. Low interest rates equate to low risk and low stress. No surprises.

She easily finds a card on Credit Card Compare that gives her a low interest rate and the lowest possible annual fee too. She applies, gets approved and uses the card for day to day spending. Well played Lauren.

This case study is intended as a representative example.

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Q&As about Low Interest Credit Cards from customers

Who should apply for a low-interest rate credit card?

Anyone who doesn’t pay off their balance in full every month and wants the security of a low interest rate charged on the balance. However, if you already have a large balance on your existing card, you would probably do better by choosing a balance transfer credit card, with an offer of a low or 0% interest rate on the transferred balance for an introductory period. You may even be able to find a low interest rate card with a balance transfer offer.

What does 'low rate’ actually refer to?

The interest rate that banks use to advertise their credit cards is generally the purchase rate – the interest that is applied to the part of your balance that is for normal purchases and bill payments. Low interest credit cards usually have an interest rate that falls in the range 12%-14% p.a. Other transactions, such as cash advances (and balance transfers if there is no introductory offer) are often set at a different rate, which may be much higher than the purchase rate.

The rate is shown as an annual percentage rate (APR), which is the amount of interest the balance would theoretically attract over the course of a year. The interest is actually calculated on a daily basis with a daily percentage rate, and the amount appears once a month on your credit card statement. You can calculate the daily percentage rate as APR% / 365.

The interest rate starts to come into effect when you have an ongoing balance on your account after the monthly interest-free days (e.g. up to 44 or 55 days) have ended.

What other types of interest can be charged?

A different rate, usually higher, is applied to cash advances, including ATM withdrawals, buying foreign currency, gambling payments and transferring funds from your credit card to a different bank account.

Many banks offer new customers a special interest rate as an introductory offer. This can include a low purchase rate or balance transfer rate, or a combination of the two. These promotions last for a fixed period, usually several months, and when the offer ends the interest reverts to a higher rate, typically the purchase rate or cash advance rate. When you are comparing and selecting a low rate credit card it is important to decide whether you want to take advantage of an introductory offer, or would prefer an ongoing low interest rate.

What other types of low cost cards are there?

We have created some other comparison tables for these types of low interest cards:

We have created some other comparison pages for these types of low cost cards:

  • 0% purchase: Cards with an introductory offer of 0% on purchases for a specified number of months, during which you can pay only the 2-3% minimum repayment and be charged no interest on the remaining balance.
  • Balance transfer: Cards with an offer of a low or 0% interest rate on a balance transferred from another credit card, for an introductory period.
  • No annual fee: Cards with an ongoing annual fee of $0, or an annual fee waiver in the first year.

You can find the pages for these cards in our Features section at the top of this page.

Are there any surprises I should be aware of?

Yes. Just because the interest rate on purchases is relatively low, there’s no guarantee that the cash advance rate will be equally low. So check the cash advance rate as well, if this is a feature you intend to use. The cash advance rate could be as high as 20%+ p.a.

Also be aware of any potential late fees or fees for spending more than your credit limit, both of which can add up very quickly. Late payments can also negatively affect your credit rating.

Are there low interest rate credit cards with rewards?

Yes, there are a few low rate cards (but only a few) that give you some complimentary benefits such as a free bottle of wine or travel insurance. There are even fewer low rate credit cards that let you earn points while you spend and redeem them for rewards. It’s really a trade off between rewards vs cost. Would you rather have a no-frills low cost credit card or have a card with higher interest rates with complimentary benefits and rewards points?

Do low rate cards have an annual fee?

Because the ongoing interest rate is low, most of these cards will charge an annual fee. The annual fee is a mechanism that the banks use to offset the low rate and make some money. But you can still find credit cards with low ongoing interest rates and no annual fees for life, and others with no annual fee for the first year.

Do low interest rate credit cards have all the tech bells and whistles and security you find on high interest rate cards?

Yes. Just because the interest late is low, the banks don’t cut corners on technology or security. Card issuers offer the same high tech and security features on all the cards in their range. So if a bank offers, for example, Google, Apple and Samsung Pay, they will be available on all cards, not just the expensive ones. And if there’s a system for monitoring or preventing potentially fraudulent transactions, it will be applied to every one of the bank’s credit cards, including low interest cards.

People are happy

Rated 4.8 out of 5 for customer satisfaction.
"Very very helpful customer service, fast and efficient and got right to the point! Highly recommend using Credit Card Compare before applying so that you are fully ready and equipped for the information needed."
Nevine, NSW
"Credit Card Compare helped me get to what I wanted in no time, while offering additional information that was important. Thank you! I can truly recommend your website to anyone needing info on finding a good credit card."
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Andrew, NSW
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