- ORIGINAL NEWS
Credit card users can save over $400 a year by switching issuers, CFPB says
- SUMMARY
Small banks and credit unions offer significantly lower credit card interest rates compared to large issuers, saving consumers hundreds of dollars annually on balances up to $5,000.
However, large lenders often provide more generous rewards and perks, which may benefit users who carry a balance responsibly.
While interest rates are only relevant to those who carry a balance, for responsible cardholders, switching to a smaller issuer can result in substantial savings.
- NEWS SENTIMENT CHECK
- Overall sentiment:
neutral
Positive
“Consumers with a $5,000 balance would save about $400 to $500 a year by using a smaller card issuer, the CFPB said.”
Negative
“The average person has a balance of $6,360, according to TransUnion.”