They are unlikely to be affected by Tuesday's cut. These should decline in response to the Fed's move, but adjustable mortgages typically reset only every six months or annually, so rates won't come down immediately.
Many cards have interest rates pegged to the prime rate.
But even with a one-quarter point drop, rates on adjustable credit cards will remain high. They are priced to account for the risk of making unsecured loans to cardholders and to cover the cost of high rates of loan defaults and bankruptcy filings. Check your credit in the Credit Center. Written by Trey Garrison Click here for a printer-friendly version of this article. Click here to translate this page to another language.