Best low-interest credit cards for December 2023

Discover it® Cash Back: Best for cash back

• What we love about the Discover it® Cash Back: With the Cashback Match™ feature, Discover will match all the cash back you’ve earned at the end of your first year. Furthermore, the first-year rewards from Cashback Match can be a true windfall, especially if you often maximize bonus categories.
• Who this card is good for: Anyone who’s looking for a low-interest cash back card and is content with waiting for the new cardholder bonus.
• Alternatives: If you want to earn cash back but don’t want to deal with the hassle of activating bonus categories every quarter, tracking spending restrictions, and modifying your spending patterns, the Petal® 2 “Cash Back, No Fees” Visa® Credit Card may be a more straightforward option than the Discover it® Cash Back.

Learn more: Reasons to love the Discover it® Cash Back.
Read our Discover it® Cash Back review or jump back to offer details.

Capital One SavorOne Cash Rewards: Best for long-term value

• What we love about Capital One SavorOne: It offers a terrific mix of everyday rewards categories, making it one of your best bets for ongoing value after your intro APR period comes to an end. 
• Who this card is good for: Anyone looking to chip away at debt or finance new purchases without sacrificing everyday rewards.
• Alternatives: The Blue Cash Everyday® Card from American Express carries a potentially low ongoing APR, a solid welcome offer and an impressive rewards rate at U.S. online retailers, U.S. gas stations and U.S. supermarkets. The online retailer category is especially unique and could hold a ton of value for some shoppers.

 Read our full Capital One SavorOne Cash Rewards card review or jump back to offer details.

Citi Diamond Preferred: Best for balance transfers

• What we love about the Citi Diamond Preferred: It has one of the longest intro APR offers available for balance transfers made in the first 60 days, making it a great option if you’re looking to maximize your breathing room as you pay down debt.
• Who it’s for: People who are focused on paying off credit card debt can benefit most from this card despite the fact that it has no rewards or welcome offer. While this limits the card’s long-term value, its long intro APR offer can help you pay off debt with minimal extra costs.
• Alternatives: If you want a low-interest balance transfer card that also offers rewards, consider the Discover it® Balance Transfer, which not only carries an intro APR on balance transfers, but also comes with bonus cash back in a mix of rotating categories.

Learn more: Why I love the Citi Diamond Preferred Card
Read our full Citi Diamond Preferred Card review or jump back to offer details.

Wells Fargo Reflect Card: Best for long intro APR offers

• What we love about the Wells Fargo Reflect card: The chance to have a period of 21 months to pay off expenses or debt. 0 percent intro APR for 21 months from account opening on purchases and qualifying balance transfers. 18.24 percent, 24.74 percent, or 29.99 percent variable APR thereafter; balance transfers made within 120 days qualify for the intro rate, BT fee of 5%, min $5. This card is a great option if you need a break from paying interest charges for an extended period of time.
• Who this card is good for: Anyone looking to finance a large purchase or refinance high-interest debt.
• Alternatives: If you don't mind a brief intro APR period, the Chase Freedom Unlimited Card may be a better alternative — especially if you want to have the chance to earn rewards.

Learn more: Wells Fargo Reflect benefits guide.
Read our Wells Fargo Reflect Card review or jump back to offer details.

Discover it® Balance Transfer: Best for first-year value 

• What we love about the Discover it Balance Transfer card: It boasts a unique welcome offer that could carry a ton of value, especially if you’re looking to save on the cost of a balance transfer. It also charges limited fees and gives you a chance at a potentially low ongoing APR.
• Who this card is good for: Anyone who wants to minimize interest charges without sacrificing long-term value.
• Alternatives: If you're looking for a low-interest card with a simpler rewards structure, consider the Bank of America® Unlimited Cash Rewards credit card, which offers unlimited 1.5 percent cash back on all purchases.

Read our full Discover it® Balance Transfer review or jump back to offer details.

Wells Fargo Active Cash® Card: Best for large purchases

• What we love about Active Cash: Along with this card’s terrific, low-maintenance flat cash rewards rate, you can take advantage of a solid intro APR offer on both purchases and qualifying balance transfers.
• Who this card is good for: People who want to earn rewards on everyday spending while chipping away at outstanding balances
• Alternatives: If you don't mind keeping track of rotating bonus categories, the Discover it® Cash Back card could be a good alternative since it offers an intro APR for balance transfers and purchases, a chance at a low ongoing APR and a mix of practical and popular spending categories.

Read our full Wells Fargo Active Cash review or jump back to offer details.

Blue Cash Everyday Card from American Express: Best for families

• What we love about the Blue Cash Everyday Card from American Express: Most welcome offers provide three months to meet the spending requirement, but not this one. With the Blue Cash Everyday Card, you can earn a $200 statement credit after you spend $2,000 in purchases on your new card within the first 6 months.
• Who this card is good for: People whose daily routines involve a lot of mealtimes and motoring around. This no-annual-fee card can help you earn considerable cash back at U.S. supermarkets and U.S. gas stations, as well as U.S. online retail purchases.
• Alternatives: If you don't plan to spend much on gas or groceries, a more flexible cash back card, such as the Discover it® Cash Back, for example, may be preferable.

Learn more: Amex Blue Cash Everyday benefits guide.
Read our Blue Cash Everyday Card from American Express review or jump back to offer details.

Bank of America Customized Cash Rewards: Best for home improvement

• What we love about the Customized Cash Rewards card: It has a lot of flexibility for a low-interest card. Along with hard-to-find bonus categories like home improvement, the card's list of eligible categories covers everyday spending like gas and dining, giving it terrific short- and long-term value.
• Who this card is good for: People who enjoy strategizing about where and when to buy to maximize their earnings each month
• Alternatives: If you don't want to keep track of your spending each month to maximize rewards, consider a card with a higher base cash back rate like the Chase Freedom Unlimited* card. It not only offers bonus rewards in popular everyday categories like dining, but also a flat 1.5 percent cash back rate for all general purchases.

Learn more: Is the Bank of America Customized Cash Reward card worth it?
Read our full Bank of America Customized Cash Reward review or jump back to offer details.

Capital One Quicksilver Cash Rewards Credit Card: Best for streamlined rewards

• What we love about the Capital One Quicksilver Cash Rewards card: This card is fairly well-rounded, with decent flat-rate rewards, a reasonable regular variable APR range and few fees. If you want a no-fuss card that earns steady cash back rewards on everyday purchases, the Quicksilver Cash Rewards is a notable consideration for your wallet.
• Who this card is good for: Consumers who want to earn solid flat-rate rewards on all purchases and have multiple options to redeem earnings.
• Alternatives: The Chase Freedom Flex Card is an excellent pick if you prefer to strategize and earn even more cash back by tracking and managing bonus categories.

Learn more: Capital One Quicksilver Card benefits guide.
Read our Capital One Quicksilver Cash Rewards Credit Card review or jump back to offer details.

Bank of America® Unlimited Cash Rewards: Best for big savers 

• What we love about Bank of America Unlimited Cash Rewards card: If you can take advantage of the Bank of America Preferred Rewards® program, this could be one of the most rewarding low-interest cards on the market.
• Who this card is good for: Bank of America customers who qualify for the Preferred Rewards Program and its best-in-class cash back rates.
• Alternatives: If you don’t have substantial savings or investments in a qualifying Bank of America or Merrill account, you might want to consider a low-interest card with a higher cash back rate or multiple bonus categories. The Discover it® Cash Back card could be a great alternative thanks to its combination of solid intro APR offers and great mix of rotating categories.

Read our full Bank of America® Unlimited Cash Rewards card review or jump back to offer details.

Citi Rewards+ Card: Best for everyday spending

• What we love about the Citi Rewards+ card: The combination of the intro APR offer on both purchases and balance transfers with its rewards program makes the Citi Rewards+ Card a solid option for frugal shoppers. Also, the Citi Rewards+ is the only card that automatically rounds your points up to the nearest 10 points on every purchase with no cap.
• Who this card is good for: People who want a low-interest card that also earns rewards on everyday spending.
• Alternatives: If you would rather have a card with a higher rewards rate on grocery store purchases, the Blue Cash Everyday Card from American Express — which earns 3 percent on U.S. supermarkets purchases (on up to $6,000 in expenditures each year, followed by 1%) would be the most ideal alternative.

Learn more: How to maximize value with your Citi Rewards+ Card.
Read our Citi Rewards+ Card review or jump back to offer details.

BankAmericard® credit card: Best for intro APR

• What we love about the BankAmericard: It carries a potentially low ongoing APR and one of the longest introductory APR periods on the market, making it a great first option if you’re looking to save on interest. 
• Who this card is good for: Anyone looking to pay off debt or finance new purchases, though it makes the most sense if you’d rather have a long intro APR than ongoing rewards.
• Alternatives: The Wells Fargo Reflect® Card also boasts a very long intro APR period on both purchases and qualifying balance transfers, and it may make more sense if you’d like to switch to one of that issuer’s rewards cards in the future.

*The information about the BankAmericard® credit card has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.

 Read our full BankAmericard® review

Gold Visa® Card: Best for low ongoing APR 

• What we love about the Gold Visa Card: You’ll enjoy one of the lowest ongoing variable APRs on the market. That makes this card one of your best bets if you think you’ll need to carry a balance long term.
• Who this card is good for: People looking for both a decent intro APR period on balance transfers and a low ongoing APR after that.
  
• Alternatives: This card is a great option if you need to carry a balance long term and want to keep interest charges low, but if a long intro APR period or rewards are more important to you, consider the Bank of America® Unlimited Cash Rewards credit card. It comes with a long intro APR offer, a low balance transfer fee and a decent flat cash back rate on all purchases.

Read our full Gold Visa Card review.

A low-interest credit card is defined by its APR (annual percentage rate), which can be either variable or fixed. If the low end of the variable percentage is around 12 percent to 14 percent, it generally qualifies as a low-interest card. Most credit cards are variable-rate credit cards, meaning their APRs fluctuate alongside the prime rate.

Given the cost of credit card interest, it’s important to minimize your exposure to interest charges or avoid them altogether. Bankrate estimates the average credit card interest rate around 20 percent. Paying your balance on time and in full every month is the surest way to avoid interest and the method that we recommend. On the other hand, a low-interest card could help you pay less in interest if you do carry a balance.

Understanding your card’s interest rate

Although annual percentage rates are expressed on a yearly basis, you’ll be charged each month as long as you carry a credit card balance. Your card’s APR will typically be listed on your monthly credit card statement. It can appear fairly straightforward at first glance but understanding how that percentage applies to your current balance requires some calculations. For example, if you currently owe $500 and your card’s APR is 15 percent, you’ll find that you owe $6.25 in interest for the month. The formulas are as follows:

15% APR ÷ 12 months = 1.25% monthly interest, 1.25% x $500 = $6.25 in interest.

Credit cards with low interest rates can come in handy for certain types of people in certain situations. Consider a low-interest credit card if you find yourself in these scenarios:

Still unsure if a low-interest credit card is right for you? Check out our Credit Card Spender Type Tool, where you can get personalized credit card recommendations based on your credit score, spending habits and daily needs.

It’s best to always pay your credit card balance in full each month, but if you’re unable to and you still want to save, a low-interest card is the way to go. To take full advantage of all of the benefits of a low-interest card and to find the best card for you, follow the steps below.

Step 1: Build your credit to a good/excellent level

People with higher credit scores tend to qualify for lower interest rates on any kind of loan, including credit cards. If your credit is fair or bad, you may not qualify for the most advantageous rates. The first step is to find out what your current score is and check for any issues or errors on your credit report. If your credit needs work, stick to a long-term strategy for improving your credit score.

Step 2: Explore all of your options

One of the keys to finding a low-interest card is how you compare and evaluate these offers. Go online to sort through your viable options and contact your bank or credit union to see what’s available to you. Find cards in your range, weigh the perks, and pay attention not only to the low ends of the variable APRs but also the high end.

Step 3: Look for pre-qualified offers

A pre-qualified offer involves an initial evaluation before beginning the actual process of applying. With pre-qualification, you won't be subject to a hard inquiry that can temporarily lower your credit score. You can also check out Bankrate’s CardMatch™ tool to see which offers fit you best without impacting your credit score.

One of the common misconceptions about credit cards is that they can be dangerous to your financial health. The truth is that credit cards themselves aren’t bad, but if you’re not careful, interest can quickly plunge you into debt. Low-interest cards are a great way to avoid hefty interest charges. Follow the tips below to keep interest payments at bay with your low-interest credit card:

• Pay off your balances: Low-interest cards are great for times when it becomes necessary to carry a credit card balance from month to month, but if you use your credit card wisely, interest payments don’t have to be a part of the equation at all. Paying the total of your credit card balance each month allows you to avoid interest charges altogether.
• Consolidate debt to a low-interest card: If you find yourself with a balance on one or more credit cards with high-interest rates, consider moving that debt to a single low-interest card, if possible. Completing a balance transfer can help reduce the amount you’ll pay in interest and simplify the debt repayment process.
• Keep future spending in mind: If you plan to finance a significant purchase on a credit card, be sure to keep low-interest cards top of mind. You can save on interest and pay less over time with a low-interest card.
• Negotiate your interest rate: If you're dead set on finding a way to lower your credit card interest rate, contact your issuer. You can call and ask to lower your interest rate or even negotiate a new payment plan entirely. If you've generally been on time with your payments and have been a loyal customer, use those points in making your case. With the right approach, you could be successful in lowering your rate.