If you pay off your credit card balance in full every month, it may be worth it for you to have a credit card with no annual fees and a longer grace period. By paying your credit card in full, you will not incur interest on new purchases. Keep in mind that grace periods usually do not apply to paying cash advances and balance transfers.

If you carry a credit card balance from one month to another, low interest credit cards are the right choice for you. Credit card companies often offer 0% introductory APR on balance transfers and purchases for 6 or 12 months. In this case, your APR will change after the end of the introductory period. If you plan to transfer a balance, chose a card with a low APR and lower balance transfer fees.

But remember that credit card companies can and do change their interest rates from time to time. Many credit card interest rates are tied with the Prime Rate, the Treasury bill rate or another interest rate benchmark. When the corresponding rate changes, your regular APR will chage as well. If your credit card has a fixed rate APR, your credit card company will notify you before increasing your APR rate.