June 18, 2009
Austin, Texas — The national average annual percentage rate on new credit card offers was unchanged this week, according to the CreditCards.com Weekly Credit Card Rate Report, ahead of an expected Federal Reserve decision to maintain its key lending rate.
The national average credit card APR is comprised of 95 of the most popular credit cards in the country, including cards from dozens of leading U.S. issuers and representing every card category listed below. (Introductory, or teaser, rates are not included in the calculation.) Among averages in nine card categories, eight were unchanged and one rose.
Rates for card categories tracked by CreditCards.com are listed below:
|Credit Card Rate Averages|
|Avg. APR||Last Week||6 Months ago|
With the bulk of credit cards having variable rates pegged to the prime rate -- which itself is tied to the federal funds rate set by the Federal Reserve -- APRs will likely rise when the Fed eventually hikes interest rates. However, the Fed will likely keep its lending rate unchanged at the conclusion of a two-day meeting on Wednesday. The Fed uses rate hikes to limit inflation, but consumer price data for May showed poor demand is already achieving that goal.
The CreditCards.com credit card rate survey is conducted weekly using offer data from the leading U.S. card issuers as found on their Web sites. Introductory offer periods and regular interest rates will vary with applicants' credit quality and issuer risk-based pricing policies.
CreditCards.com is the leading online credit card marketplace connecting consumers with multiple credit card issuers, including several of the 10 largest in the United States, based on credit card transaction volume. CreditCards.com, https://www.creditcards.com, enables consumers to search for, compare and apply for credit cards and offers credit card issuers an online channel to acquire qualified applicants.
Ben Woolsey, 512-996-8663, ext. 106
Director of Marketing
NOTE TO EDITORS: The information contained in this release is available for print or broadcast with attribution to CreditCards.com.