How to Request a Lower Interest Rate on a Credit Card

According to CreditCards.com, there are at least 176.8 million credit card holders in the United States.

According to CreditCards.com, the average household with a credit card carries $15,788 in credit card debt, with a total of $950 billion owed on credit cards in the United States. With numbers like those, every credit card holder should be concerned with their interest rates. Fortunately, there is a way to lower your interest rate; simply ask. BankRate reports that simply asking for a lower interest rate on your credit card works at least three times out of every four requests.

Instructions

1. Make a list of all of your credit cards, and note next to each the interest rate you're paying. If you don't know your interest rate, simply check your latest statement; government regulations require that credit card companies clearly indicate the interest rate on every credit card account statement. If you can't find your statement, just call the company.

2. Research other credit card offers and find out how your credit cards compare. CreditCards.com reports the average interest rate as of September of 2010 is 14.1 percent. Identify some credit cards with low interest rates, including the card you have with the lowest interest rate (see Resources for a list of low-interest offers).

3. Plan what you'll say when you make your call. Two of the best approaches for getting lower rates are: "_____ offers a credit card with ___ percent. Will you match it?" or simply, "I've been a good customer, and I'd like a lower interest rate. What can you do for me?"

4. Make the call. Be friendly and polite. Try not to put the credit card representative on the defensive. Simply stick to your plan and ask for what you'd like (see Resources for some sample telephone scripts). If the representative hesitates to say yes, remind him about your good payment history.

5. Ask to speak to a supervisor if the initial representative says no. When you've got a supervisor on the line, reiterate your request using the same language you used with the first representative. Often, the company has instructed its representatives to deny such requests; asking for a supervisor lets the company know that you're serious about getting a reduction.

6. Wait a few days after getting a "final" no and try your call again. While the script the credit card representatives use may be the same, another representative may simply be more helpful or more willing to agree to a rate reduction in order to retain your business.

7. Ask the representative if the company has a hardship program, especially if you're having a hard time making your payments. Many companies will lower or suspend your interest altogether for six months while you address your shortfall.

References

• CBS News: Getting Lower Credit Card Rates
• BCS Alliance: Ask for a Lower Credit Card Interest Rate
• Wise Bread: Lower Your Credit Card Interest Rate and Reduce Your Phone Bill, Immediately and Easily
• Bankrate.com: Want a Lower Credit Card Rate? Just Ask
• CreditCards.com: Credit Card Statistics, Industry Facts, Debt Statistics

Resources

• Telephone Scripts to Ask for Lower Rates
• List of Low-Interest Credit Card Offers