The interest rate on variable-rate credit cards is usually tied to some form of prime interest rate.

Name: The interest rate on variable-rate credit cards is usually tied to some form of prime interest rate.
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Variable-rate credit card interest rates are often tied to a benchmark interest rate such as the prime rate or the LIBOR (London Interbank Offered Rate). As the benchmark rate goes up or down, so does the interest rate for the borrower.

The Interest Rate on Variable-Rate Credit Cards Is Usually Tied