HOW TO NEGOTIATE A LOW INTEREST RATE FOR YOUR CREDIT CARD

If you ask any credit card holder, he or she will agree that the interest rates on their credit cards make a huge difference for them. This rate will determine whether you have got a good deal or not. If you are the kind of credit card user who carries forward the credit balance from 1 month to another, then interest rates is the most important factor for you. You will be saving several thousand dollars each year by renegotiating a better interest rate on your credit card.

Card issuing firms have tightened their “terms and conditions” recently and a few of them have increased their interest rates to offset their losses from bad debt. If you are holding a credit card with high interest rates, the time has come to do some re – negotiations. Given below are 4 points to help you to get better interest rates from your credit card company.

Know the terms and conditions: Before you ask for lower interest rates, you should know how much you are paying now. Gather all your statements and request for a copy of your credit ratings. When you prove that you don’t deserve to be charged with such high interest rates or the exorbitant fees, you will obviously have a lot more bargaining power.

Keep a nice tone: no one will listen to you, if you are being abusive. It is very frustrating to call the customer service and wait for a long time only to get a resolution that is not satisfactory to you. However, talk like a gentleman and don’t abuse the agent. They will be more co – operative and this will make the difference for you.

Be prepared to give up your card. You are never truly stuck. There is a lot of competition in the credit card industry and the issuer of your credit card will not want to lose any good customers. Create a plan for the worst case, which is when your credit card issuer doesn’t agree to give you a better deal. The best thing you can do is to transfer your credit card balance to another one with zero percent interest. Most credit card companies will come to the negotiating table at this moment, since they got to know that you are a strong person and they cannot push you around.

Don’t stop trying. You need to be persistent to get the best interest rates for you credit card. Call the customer care of your credit card provider regularly and find out how they will be able to help you. If the agent is not helping you out, then speak with the supervisor. Even though your agent discourages you to do it, don’t let go. Supervisors have power to make such decisions and hence they will be able to change your terms and interest rates, if you are a privileged customer.

Even if you are struggling to pay your monthly instalments, call your credit card company and see how they will be able to help you.