Average Variable Rate credit-card rates fell 3.6 percentage points last year, according to BankRate Inc. At the same time, the rate at which issuers borrow, the three-month London interbank rate, fell 4.49 percentage points.
On the $538 billion of US credit-card loans outstanding at the end of 2001, that 0.89 percentage point advantage translated to a $12.8 million rise in daily interest income for issuers in the year.
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