New Credit Card Apr Catapulted Upwards

On the heels of the recent Credit Card Reform Act, CreditCards.com recently reported that the national average annual percentage rate (APR) for new cards jumped to 14.69 percent. It represents the highest national average since April of this year and the second highest level recorded since CreditCards.com began the study in 2007

The rise in APR was attributed to First Premier’s decision to offer a 59.9 percent APR for all Centennial Classic credit card applicants. Previously, the bank offered both a 23.9 percent and 59.9 percent rate to its new cardholders.

Industry experts suspect that the move is an attempt by First Premier to make up for future losses in revenues due to the new legislation.