Wednesday, June 21, 2017

CreditCards.com Weekly Credit Card Rate Report: Average card APR jumps to 15.82 percent

Austin, Texas — The national average APR for new card offers bounced to another all-time high this week, according to the CreditCards.com Weekly Credit Card Rate Report.

The average 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. Introductory (teaser) rates are not included in the calculation.

Rates for card categories tracked by CreditCards.com are listed below:

Credit Card Rate Averages
  Avg. APR Last Week 6 Months ago
National Average 15.96% 15.89% 15.27%
Low Interest 12.80% 12.73% 12.09%
Balance Transfer 15.19% 15.13% 14.51%
Business 13.74% 13.66% 13.24%
Student 14.98% 14.89% 13.51%
Cash Back 16.12% 15.09% 15.41%
Airline 15.88% 15.77% 15.22%
Reward 16.02% 15.95% 15.33%
Instant Approval 18.32% 18.32% 17.88%
Bad Credit 23.29% 23.23% 22.92%
Source: CreditCards.com
Updated: 6-21-17

The national average card APR jumped to 15.96 percent — the highest card APR CreditCards.com has recorded since it began tracking rates in mid-2007.

This week's rate increase was largely due to the Federal Reserve's latest increase in the federal funds rate. On June 14, the Federal Reserve announced it would boost its benchmark interest rate by another quarter of a percent. Multiple lenders responded by hiking credit card APRs by the same amount.

This is the second time this year the Federal Reserve has raised its benchmark interest rate. Average APRs are expected to rise again over the next month as more cards match the Fed's higher rate.

The CreditCards.com credit card rate survey (permalink: https://www.creditcards.com/rate-report) is conducted weekly, using offer data from leading U.S. card issuers' websites. Introductory offer periods and regular interest rates will vary with applicants' credit quality and issuer risk-based pricing policies.

About CreditCards.com
CreditCards.com is the leading online credit card marketplace connecting consumers with multiple credit card issuers, including a majority 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.

For more information, contact:

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Matt Schulz
Senior Industry Analyst
matt.schulz@creditcards.com
512-996-8663, ext. 103

NOTE TO EDITORS: The information contained in this release is available for print or broadcast with attribution to CreditCards.com.

Source: CreditCards.com