The Freedom From Debt Blog

If you are carrying any credit card debt at all, you would love to benefit from a lower interest rate.  Lower interest rates mean lower monthly payments, less money spent on finance charges, more money going to principal, and more money in your pocket in the long run.  Of course, if you have large balances on your credit cards, there is a good chance that your interest rates are high.  However, there is hope for you.  Here are a  few little known ways to get a lower interest rate on your credit cards.

1. Play the balance transfer game.  Ok, so this probably doesn’t fall in the category of a “little known” tip for many people.  However, many people do not take advantage of this option correctly or simply do not try it at all.  The key to this tactic is thoroughly understanding the terms of your credit card agreements.  If you want to transfer a balance to a new card, make sure it has a lower interest rate that is going to last long enough to make a difference.  Some promotional rates only last a few months, which  may not even be long enough to recoup your balance transfer fee.  Make sure you know how much you pay in fees and how long you will benefit from a lower APR.   The best case scenario is transfering a balance to a new account that offers a low APR until the balance is paid in full.  However, if you do this, you do not want to use this card for any other purchases.
2. Simply ask for lower interest.  Many consumers carry the same credit card for years, and never ask for a lower rate.  In many of these cases, the consumer has built a great credit history during this time.  However, the credit card company rarely automatically lowers rates and, in many cases, this consumer may even see the interest rate rise.  If you have good credit, call your credit card company up and ask for a lower rate.  They will review your credit and, if you qualify, lower yoru rate.  All you have to do is ask, and all you are risking is a phone call!  If your credit is not in as good of shape as it needs to be, you may have to do a little work before asking.  Make sure your balances aren’t too close to your credit limits, and make sure you are making your payments on time. 
3. Credit Counseling.  This option is for consumers who cannot simply ask for and receive a lower rate because their credit is not in good shape.  If you have high balances that are close to your credit limits, have very high interest rates, are behind on your payments, or you can just barely eek out the minimum monthly payment every month, credit counseling may be an option for you.  A qualified credit counselor can negotiate lower interest rates and eliminate many late and over limit fees to help you get your accounts caught up and paid off fast.  However, if you have plenty of money to pay your bills but simply want a lower interest rate, this is not the option for you. 

So, you wanted lower credit card interest, and now you can go out and get it.  Figure out which option works best for you, and take action now.  Remember, lower interest rates means more money in your pocket!

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5 Ways You Can Benefit From Credit Card Consolidation
Lower Interest Rates, Lower Payments on Credit Cards