Rate survey: Average card APR stays at 16.15 percent for eighth week

Kelly Dilworth
Personal finance writer
Specializing in new trends in credit


Interest rates on new credit card offers didn’t budge Wednesday, according to the CreditCards.com Weekly Credit Card Rate Report.

None of the cards tracked by CreditCards.com advertised new interest rates. As a result, the national average APR remained fixed at 16.15 percent for the eighth consecutive week. The average card APR is currently at its highest point in more than 10 years.

Most cards also left promotional terms untouched this week.

Pentagon Federal Credit Union added a 0 percent balance transfer offer to the PenFed Power Cash Rewards Visa Signature card. Applicants now get 12 months to pay off a transferred balance, interest-free.

Among the 100 cards included in the weekly rate report, 18 now offer interest-free promotions for at least 12 to 14 months. Sixteen cards offer 0 percent promotions lasting as long as 15 months or more. 

Starbucks, Uber and Hilton set to launch new affiliated credit cards

Cardholders who like to take advantage of retail and travel loyalty programs will soon have an even wider range of cards to choose from.

A number of affiliated card programs are getting ready to launch over the next year, making it even easier for repeat customers to cash in on their brand loyalty.

Starbucks CEO Kevin Johnson announced in an earnings call Nov. 2 that the coffee mega chain is partnering with Chase on a new co-branded Starbucks Visa card. “We are pleased to announce that our first product with Chase, to be launched this winter, will be a co-branded Visa credit card, enabling customers to receive Starbucks Rewards with their purchases both in and out of Starbucks stores,” Johnson said on the call.

The coffee chain CEO didn’t provide any additional details about what specific rewards the new card would offer, but promised that they would be “very rich.”

American Express, meanwhile, announced Nov. 1 it’s teaming up with the hotel chain Hilton on two new high-end travel cards, including an elite super premium credit card with a $450 annual fee.

The new Hilton Honors American Express Aspire card will offer a number of supersized benefits, including at least one guaranteed free hotel stay per year, hefty airline and resort credits, upgraded loyalty status and a huge points bonus. “The Aspire Card offers the most Hilton Honors Points we have ever offered for spending in our hotels,” Hilton Senior Vice President Mark Weinstein said in a news release.

The less expensive Hilton Honors American Express Ascend card -- which will cost $95 a year to own -- will also offer a substantial suite of benefits, including a free annual hotel stay every year that cardholders spend at least $15,000, free lounge passes and a large points bonus on hotel, grocery store, restaurant and gas purchases.

The ridesharing company Uber also recently announced a brand-new affiliated credit card. Uber is teaming up with Barclaycard on a rewards card that will offer an industry-leading bonus on dining purchases and a significant boost on airfare, hotel and online purchases. It will also offer a number of millennial-friendly perks, such as a subscription credit for streaming purchases and insurance coverage for high-end mobile phones.

Meanwhile, the ride sharing company Lyft is also working on its own co-branded credit card, according to The Wall Street Journal.  

CreditCards.com's Weekly Rate Report
  Avg. APR Last week 6 months ago
National average 16.15% 16.15%
Low interest 12.89%
12.89% 12.70%
Cash back 16.40%
Balance transfer 15.38%
Business 13.68%
Student 15.70%
Airline 16.07%
Reward  16.24%
Instant approval 18.60%
Bad credit 23.46%
Methodology: The national average credit card APR is comprised of 100 of the most popular credit cards in the country, including cards from dozens of leading U.S. issuers and representing every card category listed above. (Introductory, or teaser, rates are not included in the calculation.)
Source: CreditCards.com
Updated: Nov. 8, 2017

See related: Banks tighten credit card loan standards, Fed says 

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Updated: 02-19-2019