If your Credit Card interest rates are getting out hand, keep reading.
Credit Card companies can raise your interest rate for about any reason they can come up with. Can you remember the last time a Credit Card Company sent you a letter or email telling you your interest rate has been lowered? If you are like most Americans, probably never. However, don’t lose hope. It is possible to get a Lower Interest Rate and fees.
If you take some initiative and follow some simple steps you could lover your interest rates by 5%, 10% or even 15%! Sometimes it’s as easy as making a phone call. Imagine how much money that would save you each month!
First, you’re going to have to know some background information about your current and past financial situation. Before you pick up the phone to negotiate with a credit card company you’re going to want to have the following information handy. This information will help you in the negotiation process:
- Your current interest rate
- How long have you had the credit card
- Have you always made the minimum payment
- Do you always pay the bill on time
Once you’re armed with the above information the next step is to simply call the company and ask if it’s possible to get a lower rate on your account. You’re probably going to quickly hear “no” the first attempt. The obvious reason is the higher interest rate you are carrying the more money they make. However, don’t give up. If at first you don’t succeed try, try, try again. This is where your information comes in handy. Let them know how long you’ve been with their company or have always paid your bill on time. It’s very possible that you’re still going to get a “no”. If that’s the case ask to speak to a supervisor and try the whole process again.
If it still doesn’t work you’re going to want to call back again in 30 minutes or so. You’ll get to talk to a different person who may have a different take on your situation. They have the power to lower the rate it’s just convincing them you’re worth of the savings. This may be uncomfortable for some people, but remember it’s your hard earned money you are throwing away!
If you still don’t succeed with the lower interest rate, or you’ve not been the best customer in the past it’s time to give one final push. Again, if you’re like most Americans you get a few dozen credit card offers in the mail each month. Most offering a lower introductory rate than you currently have. Be sure to have some of these offers handy so you can prove your seriousness.
The fact is there are hundreds of credit card options. It’s a very competitive business and banks spend millions of dollars per year trying to attract new customers. Most of the time they are willing to keep even a not so great customer instead of trying to find a new ones.
The key to success is persistence. Don’t give us too easily!
Please note these are my personal opinions.