Things You'll Need:
- Your credit statements for the past six months
- Number for your credit card company
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Step 1
First, gather all your credit card statements for the past six months and take a look at what you've got. Before you call the company, you should know the following information and be prepared to bring it up:
1) what your extended credit to used credit ratio is
2) how many times out of the last six months you paid your bill on time
3) how many times over your history with the card have you paid on time
4) if you have ever maxed out or exceeded your credit limit
5) what your rate currently is, and what you would like it to be (reasonably)
If, reviewing these four items, you feel that you have upheld your end of the credit contract well and consistently, or have improved significantly over time, you should feel free to call your company to lower your rate -
Step 2
If you decide to go ahead, call your company and asked to speak to a customer service representative.
When they ask how they can help you, respond, "I am calling to request you lower my credit card interest rate." -
Step 3
Before the service rep responds, begin listing the reasons why you should be given a better rate referencing the information you collected in Step 1. Here is an example of how you can proceed:
"Currently I pay 23% interest on my card, and I believe that due to my excellent payment history, use of my credit, and loyalty to this company that it should be lowered. If you look at my statement history over the past six months, you can see that I have paid my bill either on time or earlier consistently. At this moment, I am using only $3,500 of the $10,000 in credit extended to me, and I have never maxed out my card. Furthermore, I think my loyalty to this company should be considered in this discussion, as I have been a good customer to Bank XXX for the past six years. Given this information, is there anything you can do for me?" -
Step 4
At this point, the customer service rep will likely put you on hold to consult with managers, computer system, or other reference point to review your situation and get authorization. When they return to the line, they may ask you by how much you would like it lowered. In your response, don't go at most any lower than 10 points less than your current rate. So, if my rate is currently 23%, than I shouldn't request anything lower than 13%.
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Step 5
You will probably be put on hold again while they factor this number into their calculations before they return with the verdict. There are three possible outcomes:
1) They will say they are unable to lower your rate at this time
2) They will say they can lower your rate a few points, but not to the amount your requested
3) They will lower your rate to your requested amount -
Step 6
No matter what the verdict, it is important that you asked the customer service rep to send you a letter outlining the new change to your account and your new interest rate in case there is miscommunication internally at the bank.
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Step 7
If you are denied the rate drop or didn't get it to the number you would like it, work on building your case by making payments on time and lowering your debt amount and try again in three months. The worst they can say is "no," and even if they do you haven't lost anything.
Keep it up until you get the rate you want and deserve!
Comments
edwardvance said
on 9/27/2009 Great tips! 5* and I recommend.
ACGaughen said
on 7/18/2008 This really is even easier than it sounds! Based on this great advice I called my company and I didn't even have to launch into a big defense--they just offered as soon as I said I was looking to lower it! I think especially now a lot of people are eligible for lower interest!!
akchrist said
on 7/12/2008 Great tips!