Rachel thinks it is a good way to borrow money for free as long as she can pay the minimum payments before or on the due date. She is considering the following two credit cards:

Card A: annual fee of $100, a monthly flat interest rate of 2%;

Card B: no annual fee, a monthly flat interest rate of 3%.

She was told that it is always better to choose a credit card with the lowest interest rate. So she decided to choose Card A.

Comment briefly. (Word limit: no more than 150 words