Like all types of credit cards finding the cheapest instant approval credit card depends on how you use your card. The key to finding the cheapest instant approval credit card to suit you is knowing what type of credit card consumer you are and understanding your spending patterns.
Finding the cheapest instant approval credit card by type:
If you’re the type of customer who only ever uses a credit card for emergencies only and then repays the balance as quickly as possible, looking for a low rate credit card won’t always be the best thing for you to do. Instead look for a credit card with no annual fee that also offers interest free days on the items you purchase.
If you use your credit card regularly to pay for all manner of purchases, bills etc and you repay your balance in full each month, then the best credit card for you might not have to do with interest rates at all. You may find a credit card that offers good opportunities to earn reward points of benefit. If you continue to repay the monthly balance before the statement due date each month, you can also benefit from a card offering interest free days on your purchases. The interest rate will not matter, as you won’t pay interest if you continue to repay the balance in full each month. In this case a rewards credit card with interest free days is suitable as long as you continue the pattern of repaying the balance in full each montrh as rewards credit cards have higher interest rates than low rate cards and these rates would negate the rewards received.
If like most Australian credit card carriers you’re the type of customer who sometimes struggles to repay your outstanding credit card balance each month, then you’ll need to search for a credit card offering the lowest interest rates you can find. This could include looking for balance transfer options to reduce the interest you pay on existing debt and then searching for a low purchase rate to cut down how much you pay in interest on new purchases. This is usually advisable if you are unable to keep your old card as it’s best not to use a balance transfer credit card for new purchases as teh new purchases will accrue interest, sometimes without interest free days until the balance remaining on the balance transfer has been repaid in full.
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