SUNNYVALE, Calif.–While the credit union trade groups voiced strong opposition to any proposal in Congress to cap credit card APRs at 10%, arguing such a cap will reduce credit and make programs unprofitable, a search by the CU Daily has found there are some credit unions that offer sub-10% card rates.
As the CU Daily reported, the House has now dropped any plan for a 10% APR cap on credit cards following President Trump’s earlier social media post criticizing credit card rates.
Federal credit unions are prohibited from charging rates higher than 18%, and many states also have limits in place, as well. But the CU Daily search of low-rate cards offered by CUs turned up a half-dozen attractive offers, as outlined below.
Editor’s Note: the pricing on the cards reported here is subject to change.
The Deals
Among the lowest priced cards available from credit unions:
The $9.34-billion Star One CU in Sunnyvale, Calif. was offering several Visa credit cards with ongoing APRs as low as 7.75%–8.75% on purchases and balance transfers for highly qualified applicants.
San Diego County Federal Credit Union (NESFCU)
The $9.26-billion SDDCU was offering a Platinum Visa card with a fixed APR as low as 9.90% for qualified borrowers.
University of Michigan Credit Union
In Ann Arbor, Mich., the $1.4-billion University of Michigan CU had Visa cards for members with rates as low as 8.99% APR, depending on creditworthiness and membership.
The search by the CU Daily also found numerous cards with APRs in the 12% to 15% range, some of which were introductory rates.
In Virginia, the world’s largest credit union, Navy FCU, was offering a platinum card with an introductory APR for balance transfers of 0% to 0.99%
Similarly, in Arizona, OneAZ Credit Union was offering a 0% intro offer on its plastic in some cases.
Orlando Credit Union was offering a card with an introductory 1.99% APR for 12 months.
