Getting your interest rate lowered (credit card, renegotiate, payment, buying)

[brokencrayola]

I had something interesting happen recently. I got one of these letters from one of my credit cards stating that starting in July the interest rate to have this card was increasing. I decided I would pay it off and cancel the card. After a few months I paid off the card, and called to cancel last month. They did not want to lose my business so they offered to drastically lower my interest rate instead of raising it at all. If they had said they just wouldn't raise it I would have been happy, and didn't expect them to lower it like that. So that is something to keep in mind when you get one of those notices in the mail.

[Hatless Wonder]

I called around my credit card companies looking for a lower rate. One lowered my APR by 5%. The second offered 3%. When I asked for 5%, the woman on the phone laughed at me. I transferred 95% of that balance to another card, and I'm making my last payment on it this week.

[Karla with a K]

Ok call me weird, but this is one of my favorite things to do. I have had many friends come over with all of their credit card statements and the fun begins.
They call in and give the person permission to talk to me with regards to their account.
The important thing to remember is you need to speak to someone in the "account retention" dept. Most important with all the "outsourcing" make sure you are speaking to someone in the states. I begin by telling them "we " have received a balance transfer offer from "xyz" company and "as much as my friend has enjoyed doing business with your company the new rate is very tempting" What can you do so he doesn't have to end this relationship?
The trick is to be firm yet friendly.
Also to do this your account has to be in good standing.
Another thing to remember some companies may try to say "we can lower your APR but there is a $35 fee" this is hogwash there is no work involved other than typing in the new APR and hitting enter. When I ran into this one time the person in account retention said that only someone in customer service could "waive" this fee. No problem I said hold on grabbed the other phone and called into CS I had AR on one ear and CS on the other. They could each hear my conversation with the other. Funny how the "fee" seemed to go away.
So this can be done think of it like buying a car(anther fun thing in my book ), you won't walk in and pay sticker would you ???

Karla

[UseJeff]

Assuming you pay your credit cards on time, you should call in once every 6 months to renegotiate your rate. I don't hold much debt, but my best friend does this religiously with success. Just use what is mentioned above, that you're thinking about cancelling your account because you've had lower offers.