CardTrak.com - Most Trusted Source of Credit Cards Since 1986

By Julia Spencer, CardTrak.com

The gap between variable rate credit cards and fixed rate credit cards has widened to 188 basis points. Variable (go-to) rate cards have also saturated the market, now making up 86% of all cards-in-force. Less than five years ago, the number of fixed rate cards outnumbered variable rate cards, according to CardData (www.carddata.com). Today, variable rate cards carry an average go-to interest rate of 16.55% versus 14.67% for the average fixed rate cards. In January, the average go-to variable interest rate was 15.53% versus 14.08% for fixed rate cards. (The averages do not include introductory or punitive interest rates.) During 2006 the prime rate increased 75 basis points.