Anonymous asked in Business & FinanceCredit · 7 months ago

I am planning on getting a credit card for the first time. I can choose between a low rate or low fee card. Will a low rate card look worse?

The low fee card has a higher interest rate than the low rate card, but the annual fee is just slightly less on the low fee card.

If I chose to go with the low rate card, would my credit score be negatively affected in the long term (even if I pay it off on time each month).


In other words, would a low rate card (with a slightly higher fee) alone make me look like I'm less sure of myself and less reliable in paying off my debts.

5 Answers

  • Judy
    Lv 7
    7 months ago

    no, won't matter

  • 7 months ago

    Credit unions (and some banks) offer NO fee AND low rate cards (even in the "secured" category). The credit report collecting companies know nothing about your card. Just your credit limit and payment schedule and amount.

  • Never
    Lv 7
    7 months ago

    Choose a no fee card and never carry a balance. (therefore, the rate does not matter)

  • Shay
    Lv 7
    7 months ago

    It works exactly the same in terms of building credit.

    AVOID annual fees whenever possible. But, in some cases, an annual fee might be worth it if the card has good rewards or a really great interest rate.

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  • 7 months ago

    It doesn't even look different. It looks exactly the same.

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