Low Interest Credit Cards Australia (2026)
Compare purchase rates, annual fees, and interest-free periods on Australia's lowest-rate credit cards. Last updated: 17/05/2026
Rates can change without notice. Last verified: 17/05/2026 (AEST). Please confirm details on the bank’s official page.
If you carry a credit card balance — even occasionally — the purchase interest rate matters far more than rewards points. A card charging 13% p.a. instead of 20% p.a. on a $3,000 balance saves you roughly $210 in interest per year. The cards below are sorted by purchase rate, lowest first.
| Provider | Card | Purchase rate | Annual fee | Interest-free | Action |
|---|---|---|---|---|---|
| CommBank | Low Rate Credit Card | 10.99–15.99% p.a. | $72/yr ($6/month) | 55 days | Visit site |
| Bankwest | Breeze Classic Mastercard | 12.99% p.a. | $49/yr | 55 days | Visit site |
| NAB | Low Rate Card | 13.49% p.a. | $99/yr | 55 days | Visit site |
| ANZ | Low Rate | 13.74% p.a. | $58/yr | 55 days | Visit site |
| Westpac | Low Rate Card | 13.74% p.a. | $59/yr | 55 days | Visit site |
Who Should Consider a Low Rate Card?
Low rate credit cards suit people who carry a balance from month to month — whether by choice or occasionally when cash flow is tight. The maths is simple: the lower the rate, the less interest accumulates on any unpaid balance.
- Balance carriers: If you regularly carry $1,000+ from month to month, a low-rate card can save hundreds per year compared to a rewards card.
- Occasional revolvers: Even if you usually pay in full, a low-rate card is useful insurance for months when you can't.
- Balance transfer candidates: Several low-rate cards offer 0% introductory balance transfer periods — useful for consolidating existing card debt.
Low Rate vs Rewards Cards — Which Is Better?
The answer depends entirely on whether you pay in full each month.
- Pay in full every month? A rewards card likely returns more value — points, lounge passes, travel credits. The purchase rate never applies to you.
- Carry a balance? A low rate card wins. Interest charges on a rewards card will quickly exceed the value of any points earned. A 20% p.a. rate on $3,000 costs $600/year in interest — far more than most rewards cards return.
What to Check Before Applying
- Annual fee vs interest saving: A $99 annual fee only makes sense if the interest saving exceeds it.
- Cash advance rate: Withdrawing cash on a credit card usually attracts a higher rate and no interest-free period.
- Foreign transaction fees: Most low-rate cards charge 2–3% on overseas purchases.
- Balance transfer revert rate: After any 0% introductory BT period, check what rate unpaid balances revert to.
FAQs
What is a low interest credit card?
A low interest credit card charges a lower ongoing purchase rate than a standard card — typically between 9% and 14% p.a. in Australia, compared to 20%+ on rewards cards. They suit people who occasionally carry a balance.
Are low rate cards worth it if I always pay in full?
Probably not. If you pay your balance in full every month you never pay interest, so the purchase rate is irrelevant. In that case a rewards card may return more value. Low rate cards suit people who carry a balance at least occasionally.
What fees should I watch for?
Annual fees, cash advance fees, and foreign transaction fees. Some low-rate cards charge a monthly fee instead of an annual fee — multiply by 12 to compare like-for-like.
Information is general in nature and may change without notice. Confirm rates, fees, and eligibility on the provider's website before applying. This is not financial advice.