Credit Card Rates Lowest in Two Years

While gas and food prices are rising, the cost of credit is falling, at least a little bit. Back in January, the Feds cut interest rates by record percentages. Later, I encouraged you to be on the lookout for lower rates on your credit cards and loans.

Good news from Smart Money: average credit card rates are the lowest they've been since 2006.

Thanks to the Federal Reserve's interest-rate cuts over the past few months, the average credit-card rate dropped to 13.29% this week on cards that don't offer rewards. That's a rate not seen since February 2006.

The article goes on to report that consumers with good credit could see lower interest rates. While rates have fallen for rewards credit cards and student credit cards, the average rate is still higher than that of other credit cards.

The lower rates mean lower finance charges and lower cost of carrying a credit card balance.

Read: Taking Advantage of a Federal Interest Rate Cut