We’ve all been there: we receive the credit card statement in the mail, only to be staggered by the mounting interest. What can be done to tackle this issue and make your life easier?

That’s actually not difficult at all. You only need to contact your credit card company and briefly negotiate a lower interest rate. You could potentially cut that rate in half! With a good payment history and a bit of courteous questioning, one can readily receive a competitive counter-offer.

How to Negotiate a Lower Interest Rate

To do this, we need only call the 800 number on the back of the credit card in question. Let’s assume for a moment that your rate is approximately 19%. You might say something like: “I’ve received an offer in the mail to switch to your competitor. They are offering me 9% interest, which is better than I’m receiving from your company. I may need to transfer my account to them unless you can help me out.”

This is a quick and simple method for getting that representative to acquiesce to your needs. But it’s entirely possible they will offer you a smaller reduction than you expect. In this case, if you don’t wish to haggle with the representative, you can ask for a supervisor or call back the next day to speak to someone else. These representatives tend to have some control over what they can offer you, so where one would offer 14%, another may offer 9%.

Courtesy during this process is crucial. Customer service representatives receive a lot of angry callers. With a bit of kindness and patience, you’ll grease the gears ahead of their offer. Please feel free to contact us if you have any questions regarding negotiating a lower interest rate. Good luck in your negotiations!