Teaser rate

Okay, so let's say you want to get a toy from the store, but it's really expensive. The store owner tells you that you can pay less money now to get the toy, but you have to promise to pay more money later. The less money you pay now is called the teaser rate.

It's like when your parents buy groceries on sale - they pay a cheaper price on things they need right now, but they have to pay the real price next time they buy it.

Sometimes, banks or credit card companies will use teaser rates to get people to apply for their cards. They might offer you a really low interest rate for a few months so you think it's easy to save money, but then when the low rate is over, the interest goes up a lot and you end up paying more money in the long run.

Basically, a teaser rate is like a special deal that sounds really good at first, but you have to be careful to make sure you understand what happens after the teaser rate ends.