Why don’t credit card rates come down?

Average credit card interest rates have failed to fall in recent years. However the Reserve Bank’s official cash rate has plummeted to its lowest-ever level of 2.0 per cent. Some credit cards are charging more than 20 per cent on purchase interest rates.

Commonwealth Bank chief Ian Narev said credit card debt is unsecured and therefore more expensive than mortgage debt that is secured by a house.

There are plenty of good credit cards now on offer at www.infochoice.com.au with rates under 12 and 13 per cent.

Source: The Daily Telegraph