The 14 million credit card users in Australian could be saving money if they made use of balance transfers and low rate credit cards . The average outstanding balance is $3,142 according to the Reserve Bank of Australia.

If the average credit card balance is $3,142 and the average interest rate, the interest could be costing you up to $45.00 a month. This could drop to $32.00 a month if you were using a low rate credit card.

With the average interest rate, you’ll end up paying approximately $540.00 in interest a year. With a low rate credit card, you’ll end up paying approximately $384.00 in interest a year. If you switch to a low rate credit card, you could be saving around $150.00 a year.

If you take advantage of a credit card balance transfer deal, you could end up saving more. If you select a balance transfer deal that offers a 0%p.a interest rate for the first six months, you would save approximately $45.00 a month. Additionally, you would save roughly $13.00 for the following six months.

By doing this, you could save approximately $345.00 a year.

Information inferred: Average credit card interest is calculated to be 17.19%p.a. Low rate credit card interest is calculated to be 12.40%p.a. Annual fees are presumed to be constant. Credit card balance is presumed to be constant.