With Interest Rates So Low, Why The Heck Are Credit Card APRs So High?

It doesn’t seem to make sense: The Federal Reserve just announced a plan intended to lower long-term interest rates; it’s kept short-term interest rates at historic lows, and says it will continue to do so through mid-2013. So what are we to make of the news from CreditCards.com that credit card APRs have just hit a record high, their fifth in this year alone?

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