How to Negotiate Lower Interest Rates on Your Credit Cards

You can always negotiate lower interest rates on your credit cards. It is wrong to think you are stuck with what your lenders put forward. While they ultimately decide what to give you, this amount can be lower if you negotiate using the proper techniques. Follow the tips below and enjoy lower interest rates. Skilfully negotiate with your lenders and pay off your credit cards on time all the time!

1. Prepare.


Gather all your records and relevant information before contacting your lender. These include your current credit card terms, statement due date, existing balance, and current APR. Review the status of your credit, too. The stronger it is, the more leverage you have. If you are negotiating multiple cards, focus on the one with the highest interest rate first. Compare what you are paying with the rates of others and use it as a basis to negotiate a fair offer from your creditor.

2. Go with a positive credit.

Do not start negotiations with bad credit. Missed payments and black marks on your credit history will not encourage lenders to help you. Some factors that your credit card company will look for include the length of time you possess the card, your credit limit, the amount you owe compared to the credit limit, the amount you owe on all your credit cards, and any history of late payments. You must meet their requirements to get lower interest rates. When your credit is healthy, negotiating becomes a smoother process.

3. Look for competing offers.

Shop around and find the most competitive rates and products available. Learn the details about these cards and leverage this information when negotiating with your lender. Credit card companies want to make money and keep your business. In case they do not offer you a better deal, at least you have options. You know where to go for lower interest rates!


4. Ask for the manager.

If you speak with an uncooperative representative, ask for the manager or direct supervisor. He or she can better attend to your request. If you are denied on your first try, try again at a later date. Some representatives are more responsive than others, but asking for the manager expedites the process.

5. Be patient, but do not be afraid to walk away.

It can be stressful to deal with debt, but be patient. Ask for help in a courteous way and go along with the process. But if your creditor still refuses to give you a fairer offer, end negotiations and walk away. You have other options that will get your lower interest rates on your credit cards.