Variable Interest Rate

A variable interest rate on a credit card is an interest rate that is not fixed and is subject to fluctuation.

Variable interest rates typically adjust along with changes in federal and key interest rates, but could also adjust along with changes in the consumer’s credit profile. Because of this, the consumer could be caught in a situation where the variable interest rate will increase dramatically in a short period of time.

In most situations, credit cards with variable interest rates will have higher interest rates than a card with a fixed interest rate.

Click for the full glossary of credit card terms.

Similar Articles:

Credit Cards

Disclaimer: This content is not provided or commissioned by American Express, Visa, MasterCard, Discover, or any other credit card company or issuer. The opinions expressed here are the author's alone, not those of any credit card company or issuer, and have not been reviewed, approved or otherwise endorsed by any credit card company or issuer. Credit Card Chaser may be compensated through various affiliate programs with advertisers. As always, Credit Card Chaser is an independent website commmitted to helping people research credit card offers and find the best credit card!