(MONEY Magazine) – Pinched by the recession, consumers are whipping out the plastic with increasing frequency, as evidenced by a $137 spurt in the average monthly credit-card balance to $1,626 since January 1990. This development, combined with the stiff 18.9% average finance charge, makes a compelling case for getting a low-rate card. The hitch: new credit cards are harder than ever to get, and the lowest-rate ones -- those in the 10% to 12% range -- are toughest of all. In fact, with their profits squeezed by a 10% rise in card delinquencies this year, low-rate issuers are likely to reject you unless you have a totally spotless credit record. For example, Simmons First National in Pine Bluff, Ark. now turns down about 70% of applicants for its 10% Visa, compared with 60% three years ago. The industry overall now rejects 60% of all card applicants, up from about 50% in 1990. The venial sins that trigger a rebuff from Simmons include just one late loan payment over the past year and nonmortgage debt that exceeds 20% of your income, vs. the 30% level that creditors commonly accept. To enhance your chances of getting one of the lowest-rate cards, be sure to make your loan payments on time. Also get copies of all your credit reports so you can repair any mistakes before you apply; the average $100 a year in finance charges saved by low-rate cardholders more than justifies the roughly $30 cost to acquire the reports. If you have a few credit blemishes that you cannot erase, shoot instead for a 13% to 15% card. Eager to gain market share, many of these moderate-rate issuers are bucking the industry trend and accepting more applicants with minor credit problems, such as a few late payments over the past year. For $5, you can get a list of 500 low-rate and no-fee issuers from Ram Research's CardTrak (Box 1700, Frederick, Md. 21702).

BOX: COMMON INDEXES FOR ARMs

One-year Treasury constant maturity 5.57% 11th District cost of funds 6.85 National mortgage contract rate 8.93

Note: Averages are for September, August, and September, respectively. Source: HSH Associates. For the latest information on mortgage rates in your area, plus a kit that will help you select the right loan, call toll-free for MONEY Magazine's Mortgage Match at 800-243-8474. Cost: $29.95

CHART: NOT AVAILABLE CREDIT: Bank Rate Monitor CAPTION: THE BEST SAVINGS YIELDS IN THE U.S.

CHART: NOT AVAILABLE CREDIT: Source: HSH Associates CAPTION: LEADING RATES IN THE 24 LARGEST METRO AREAS

CHART: NOT AVAILABLE CREDIT: Bank Rate Monitor CAPTION: THE BEST CREDIT CARDS WITH ANNUAL FEES THE BEST CREDIT CARDS WITHOUT ANNUAL FEES

CHART: NOT AVAILABLE CREDIT: Source: HSH Associates CAPTION: LEADING FIXED RATES IN THE 24 LARGEST METRO AREAS

CHART: NOT AVAILABLE CREDIT: Source: HSH Associates CAPTION: LEADING ARMs IN THE 24 LARGEST METRO AREAS