Aussies urged to compare credit cards as conditions change

Credit card issuers have tightened up on the interest rates and conditions they are offering of their products in recent months – making now a good time to compare credit cards, a commentator has observed.

John Kavanagh, a finance columnist for the Sydney Morning Herald, noted that as the Reserve Bank of Australia’s official cash rate has gone up steadily in recent months, the deals that many consumers were getting on their credit cards are now much less appealing than they were in the past.

"Issuers have been changing their low-rate or zero-rate balance-transfer deals, shortening the periods for which the low rates apply," he said.

"Credit card users need to see how their card offer has changed in recent months and consider moving to another issuer if they are no longer receiving a good deal."

Mr Kavanagh observed that many card providers have now put purchase rates above 20 per cent and cash advance rates above 21 per cent.

Writing for Coolum News this week, Noel Whittaker, a director at the financial consultancy Whittaker Macnaught, urged Australians to check the fine print when transferring their credit card debt to a low interest card.

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