What Is a Credit Card Daily Periodic Rate?

How Do You Calculate a Daily Periodic Rate?

You can calculate a card's daily periodic rate by finding its annual percentage rate (APR), which is the same as its interest rate. The APR will be on your card's monthly statement, or you can check it by logging into your credit card account online.

Once you have your card's APR, divide it by 360 or 365 (review your cardholder agreement to see which option your card issuer uses) to find the daily periodic rate. For example, if your card's APR is 26% and your card issuer uses a 365-day calculation, the card's daily periodic rate is 0.071%.

Knowing the daily periodic rate can help you understand and calculate how much interest accrues on a credit card balance. For instance, a card with a 0.071% daily periodic rate and a $5,000 balance will accrue $3.55 of interest (5,000 x 0.00071 = 3.55) at the end of the day.

Can You Lower a Card's Daily Periodic Rate?

Many credit cards have a variable APR, which means your rate may go down or up when interest rates change. As a result, your daily periodic rate might automatically decrease if interest rates go down. Some card issuers may also send out temporary interest rate offers, which could give you a lower (or zero) percent rate on your purchases. But you don't have any control over when these happen.

If you want to get a lower rate on your own, you could try calling your card issuer and asking if it could lower your rate. They might agree if you're a longtime customer or your income or credit has significantly improved since you first opened your card. Or, if you're asking for a lower rate because you're struggling to afford your payments, some card issuers have hardship programs that may temporarily lower your interest rate or minimum payment.

How Can You Save on Credit Card Interest?

Most credit cards offer cardholders a grace period, an interest-free period between the end of your billing cycle and your bill's due date. If you pay your statement balance in full each month, you won't pay any interest on your purchases.

However, the grace period gets rescinded when you revolve or carry a balance. Now, your revolved balance and new purchases will start to accrue interest daily based on your daily periodic rate.

When you think or know you might carry a balance and want to minimize your interest payments, you could:

• Open and use a low-interest credit card. Even if the card doesn't offer many rewards, you might save more on interest than you'd earn in rewards anyway.
• Pay down the credit card with the highest APR first. The approach is called the debt avalanche method, and it helps you minimize your overall interest payments as you pay down multiple debts.
• Look for cards with 0% APR offers. When you know you have large purchases coming up, getting a new card that offers an introductory 0% APR on purchases might make sense. You can then pay down the balance without paying extra interest during the promotional period.
• Use a balance transfer card. Another option could be to open a balance transfer credit card that offers an introductory 0% APR on balances you move to the card. While you may need to pay a balance transfer fee, you could end up saving more on interest than you pay in fees.

Best 0% intro APR cards of 2026

Compare cards from our partners with 0% intro APR offers on balance transfers, purchases or both.

Offers from our partners

Advertiser Disclosure

(871)Rated 4.57 out of 5 stars, 871 reviews

91%

would recommend

Citi Double Cash^® Card

Intro APR:0% for 18 months on Balance Transfers

Ongoing APR:18.24% - 28.49% (Variable)

Rewards:

2% (cash back)

Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, earn 5% total cash back on hotel, car rentals and attractions booked with Citi Travel.

Annual Fee:$0

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(563)Rated 4.58 out of 5 stars, 563 reviews

90%

would recommend

Blue Cash Everyday^® Card from American Express

Intro bonus:

As High As $200 Cash Back. Find Out Your Offer.

You may be eligible for as high as $200 cash back after spending $2,000 in purchases on your new Card in the first 6 months. Welcome offers vary and you may not be eligible for an offer. Cash back is received as Reward Dollars, redeemable for statement credit or at Amazon.com checkout. Terms Apply.

Intro APR:0% on Purchases and Balance Transfers for 15 months

Ongoing APR:19.49%-28.49% Variable

Rewards:

1% - 3% (cash back)

Earn 3% cash back at U.S. supermarkets, 3% cash back on U.S. online retail purchases, 3% cash back at U.S. gas stations, on eligible purchases for each category on up to $6,000 per year in purchases (then 1%). Cash back is received in the form of Reward Dollars that can be redeemed as a statement credit and at Amazon.com checkout.

Annual Fee:$0

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Terms Apply

(360)Rated 4.51 out of 5 stars, 360 reviews

89%

would recommend

Wells Fargo Reflect^® Card

Intro APR:0% intro APR for 21 months from account opening on purchases and qualifying balance transfers

Ongoing APR:17.49%, 23.99%, or 28.24% Variable APR

Rewards:

N/A*

Annual Fee:$0

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(739)Rated 4.54 out of 5 stars, 739 reviews

89%

would recommend

Citi^® Diamond Preferred^® Card

Intro APR:0% for 21 months on Balance Transfers and 12 months on Purchases

Ongoing APR:16.49% - 27.24% (Variable)

Rewards:

N/A*

Annual Fee:$0

ApplyView detailsRates and fees

(170)Rated 4.52 out of 5 stars, 170 reviews

89%

would recommend

Blue Cash Preferred^® Card from American Express

Intro bonus:

As High As $300 Cash Back. Find Out Your Offer.

You may be eligible for as high as $300 cash back after spending $3,000 in purchases on your new Card in the first 6 months. Welcome offers vary and you may not be eligible for an offer. Cash back is received as Reward Dollars, redeemable for statement credit or at Amazon.com checkout. Terms Apply.

Intro APR:0% on Purchases and Balance Transfers for 12 months

Ongoing APR:19.49%-28.49% Variable

Rewards:

1% - 6% (cash back)

Earn 6% cash back at U.S. supermarkets on up to $6,000 per year in eligible purchases (then 1%), 6% cash back on select U.S. streaming subscriptions, 3% cash back at eligible U.S. gas stations and on transit (including taxis/rideshare, parking, tolls, trains, buses and more) purchases and 1% cash back on other purchases. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit and at Amazon.com checkout.

Annual Fee:$0 intro annual fee for the first year, then $95.

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Terms Apply

(127)Rated 4.35 out of 5 stars, 127 reviews

87%

would recommend

Citi Simplicity^® Card

Intro APR:0% intro APR for 18 months from account opening on purchases and qualifying balance transfers

Ongoing APR:17.49% - 28.24% (Variable)

Rewards:

N/A*

Annual Fee:$0

ApplyView detailsRates and fees

(86)Rated 4.35 out of 5 stars, 86 reviews

86%

would recommend

Bank of America^® Customized Cash Rewards credit card

Intro bonus:

$200

$200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening

Intro APR:0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days

Ongoing APR:17.49% - 27.49% Variable

Rewards:

1% - 6% (cash back)

Earn 6% cash back for the first year in the category of your choice. You’ll automatically earn 2% cash back at grocery stores and wholesale clubs, and unlimited 1% cash back on all other purchases. After the first year from account opening, you’ll earn 3% cash back on purchases in your choice category. Earn 6% and 2% cash back on the first $2,500 in combined purchases each quarter in the choice category, and at grocery stores and wholesale clubs, then earn unlimited 1% thereafter. After the 3% first-year bonus offer ends, you will earn 3% and 2% cash back on these purchases up to the quarterly maximum.

Annual Fee:$0

ApplyView details

(39)Rated 4.23 out of 5 stars, 39 reviews

79%

would recommend

Bank of America^® Travel Rewards credit card

Intro bonus:

25,000 Points

25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases

Intro APR:0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days

Ongoing APR:17.49% - 27.49% Variable

Rewards:

1.5x - 3x (Points per dollar)

3 points per $1 spent on travel purchases booked through BofA Travel and 1.5 points per $1 spent on everyday purchases

Annual Fee:$0

ApplyView details

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See all our best 0% intro credit cards for 2026.

You also might be able to save money by taking out a debt consolidation loan to pay off credit card balances. While you'll have to pay interest on the loan, you may qualify for a lower rate than your credit card's APR. Plus, the loans often have a fixed interest rate, fixed monthly payments and a predetermined repayment period that can make repaying the loan simpler than paying off a credit card.

Check Your Credit Card Offers

The daily periodic rate doesn't matter much when you pay your bill in full and don't pay interest. When that's the case, a rewards credit card might make the most sense. But if you're carrying or think you might need to carry a balance soon, a low-interest card or a promotional interest rate could be the best choice.

No matter the type of card, your credit score can impact the decision, and you can check your credit for free with Experian. Then, use Experian's free comparison tool to compare different credit card offers and get matched with cards based on your unique credit profile.