Credit card rates under the spotlight

With the Reserve Bank deciding to leave interest rates on hold this month, it is unlikely that those who compare credit cards will find rates getting any lower.

And to make sure consumers get the best deal, the Australian Securities and Investments Commission (ASIC) has urged people to look past the bells and whistles and read the fine print of the latest credit card deals.

The group warns that while glossy adverts may promise cheap credit cards and plentiful rewards, misleading introductory rates and hefty usage fees could end up burning a hole in people’s pockets.

Speaking to the Advertiser, ASIC senior executive leader of consumers and retail investors Delia Rickard warned that people need to "get the full picture" when they compare credit cards.

"If you are switching cards, make sure you change all of your direct debits to your new credit card account to avoid being penalised if any payments are missed," Savings & Loans general manager of marketing and development Sarah Cutbush added.

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