Student Credit Cards Charging the Highest APR
According to CreditCards.com US Student Credit Cards charge whacking great annual percentage rates (APR’s) that top rates applied on other card categories.
Figures listed below:
Low Interest 11.41%
Balance Transfer 11.41%
Bad Credit 12.81%
Cash Back 13.13%
Reward 13.66%
Business 13.95%
Instant Approval 14.18%
Airline 15.08%
Student 17.88%
The problem is that fluctuations in the Fed’s prime rate is heaping further misery on student cardholders because a majority of banks base their credit card APRs on an index tied to the prime rate.
According to the U.S. central bank: “54% of credit card issuers tie card interest rates to prime.”
That’s a whole lot of misery for young students struggling to meet interest repayments.
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