5 Tips on Lowering Your Credit Card Interest Rates!

By Sally Herigstad      

Does it ever seem like you’re making payments on your credit cards month after month and the balance never goes down? It’s no wonder, with the high interest rates many credit card companies charge. Most of each payment may be going to pay the interest expense.

Getting even a slightly lower interest rate can make a huge difference. For example, an interest rate of 2 percent less on a $5,000 balance could save you $100 in a year – money better spent reducing your balances!

The fastest way to get lower credit card interest rates is to ask. Assuming you’ve been making your payments on time, all you have to do is pick up the phone and politely ask for a lower rate. You’d be surprised how often you get what you ask for.

Here are a few tips:

What if they won’t lower your rate? Maybe it’s time for a new card. That rewards card with the free airline tickets may not be worth paying sky-high interest rates.

You might want to get a card with a low introductory rate and then work very hard to get the balance down to zero before the rate goes up. Deadlines can be motivating!

You could save hundreds of dollars in a couple of hours by finding your best interest rate. That’s well worth the time spent.