Credit Information

Negotiating Rates with Your Credit Card Company





Ok, let's face it, everybody hates high credit card rates, and they drain hard earned money out of your wallet. As a valued consumer, it is apparent that you learn how to negotiate to get the absolute best rate that you possibly can. The good news however is that it doesn't have to be a difficult or time-consuming process. In fact, it can be very easy indeed if you know what you're doing. In this article we will discuss the ins and outs of credit card negotiating to ensure that you get the best possible rate with the least amount of effort.

  • First and foremost, you should figure out if you even want to continue using your current credit card company ( http://www.the-credit-card-centre.co.uk/best-credit-cards.html ). Are you pleased with the overall service that you are receiving? Do you like their benefits? If the answer is yes then you can proceed. If not, you should stop reading this article and start looking for a better company.

  • Second, you should evaluate your paying history and make sure that it is positive before you call to negotiate. If it is positive then you have power and if it isn't then you'll be negotiating from a position of weakness and that might not be good. Instead, you should wait until it is more positive before you call them to negotiate rates.

  • Third, if you have a good history then remember this when you call. In essence, you'll have extremely high negotiating power. The company needs your business in order to be successful and with clients they lose big time. Therefore, you should always display this "take them or leave them attitude" while conducting your negotiations.

  • Draft up a script and memorize it. It can be as simple as "Hello, my name is Bill and I have been a cardholder for X years and I consistently pay my bills on a time. Well recently I have been receiving all types of credit card offers from XYZ bank indicating that I qualify for an extremely low interest rate of X and am considering leaving you and going there if you can't offer me a lower rate. Is this something that you can help me with?

  • Practice, practice and practice some more with your script until you are completely and totally used to it. Once you are, contact the company. Read your script and see what happens.

  • If you get a hard nose customer service representative then don't threaten her. Be agreeable and ask to speak to his/her supervisor. If that is not possible, be nice to her and try again she may have some leeway. If you like your present company, you can even try negotiating interest rates, annual and even those yucky late fees.

  • However, if you're fed up, have an alternative company in the wings, and your current company won't budge with their rates then be willing to take your business elsewhere. After all, you hold the power so don't be afraid to use it! They key however is to not bluff but to follow through with your threat. Close the account, ask for them to send you notification in the mail, cancel the credit card and use another card.

    In conclusion, you can be successful with the negotiating process if you follow the above mentioned tips. If your current company is unwilling to cooperate then you should simply take your business elsewhere. You're better off with another credit card company that values your savvy negotiating skills!

    About The Author

    Claire Bowes is a successful freelance writer and owner of The Credit Card Centre ( http://www.the-credit-card-centre.co.uk ) where you will find further advice and tips on the best credit card deals ( http://www.the-credit-card-centre.co.uk/best-credit-cards.html )and 0% credit cards ( http://www.the-credit-card-centre.co.uk/0%-credit-cards.html ).


    MORE RESOURCES:

    TheStreet.com

    S&P upgrades Invesco credit ratings
    BusinessWeek
    Standard & Poor's raised investment-grade credit ratings for Invesco Holding Co. Ltd. on Wednesday, citing the investment manager's recent performance ...
    S&P says may cut AT&T's credit rating by one notchReuters
    AT&T Placed on Credit Watch NegativeTheStreet.com
    AT&T: Focus On Buybacks Could Spur S&P Credit Rating CutBarron's (blog)
    Dallas Business Journal -Phone Plus (blog) -ClaimsJournal.com
    all 66 news articles »


    The Economist (blog)

    Credit cards more transparent, but problems remain
    Examiner.com
    New credit card offers have dropped most of the practices considered "unfair" or "deceptive" by the Federal Reserve, thanks to the passage last year of the ...
    Credit cards acting as reverse Robin Hood?Bankrate.com
    Do Credit Cards Siphon Money From the Poor to Rich?The AtlanticWire (blog)
    Bank reforms to pinch consumer creditWashington Times
    Healthy Financial Habits -Which4U - UK -NewsReleaseWire.com (press release)
    all 93 news articles »


    Credit Unions Can Do More Small Business Lending, Cheney Says
    BusinessWeek
    July 29 (Bloomberg) -- Congress should raise the lending limits for credit unions because it would help small businesses and create jobs ...

    and more »


    The Business Insider

    Real Estate Bonds Entice Goldman as Ford Sells: Credit Markets
    BusinessWeek
    Elsewhere in credit markets, the extra yield investors demand to own corporate bonds instead of government debt fell 1 basis point to 177 basis points, ...
    Goldman and Citigroup to Sell $788.5 Million CMBSABC News

    all 32 news articles »


    Fitch: Credit-Card Charge-Offs Fall For 1st Time In 3 1/2 Years
    NASDAQ
    Charge-offs among prime-rated US credit-card borrowers fell from a year earlier in June for the first time in 3 1/2 years, according to a reading by Fitch ...
    Fitch: No Relapse for US Credit Card ABS; Defaults ReboundPR-inside.com (press release)
    SEC Helps Steer Ford Back to MarketWall Street Journal
    Fitch Publishes Credit Card Movers & Shakers with May 2010 PerformanceBusiness Wire (press release)
    Structured Credit Investor (subscription) -Another Financial Portal
    all 63 news articles »



    Reuters

    Swiss Stocks Rise; Credit Suisse, UBS Jump on Banking Upgrade, ABB Climbs
    Bloomberg
    The pesticide maker's drop offset Credit Suisse Group AG's 1.1 percent advance after Deutsche Bank AG raised its recommendation for the European banking ...
    UBS May Lift Fixed-Income TargetsWall Street Journal (blog)
    UBS Beats Back Tax WoesForbes
    RPT-PREVIEW-UBS seen curbing outflows as turnaround nearsReuters
    Taipei Times -Toronto Star
    all 588 news articles »


    Which Casinos Still Face Credit Woes?
    TheStreet.com
    NEW YORK (TheStreet) -- Credit woes still loom for casino companies, according to Moody's Investor Services. ...

    and more »


    AmmoLand.com (press release)

    Cabela's Inc. Announces Plans for Store in Edmonton, Alberta, Canada
    MarketWatch (press release)
    Cabela's also issues the Cabela's CLUB(R) Visa credit card, which serves as its primary customer loyalty rewards program. Cabela's stock trades on the New ...
    Cabela's 2Q profit nearly doubles to $18 millionThe Associated Press
    Big box outfitting store to open in EdmontonEdmonton Journal

    all 103 news articles »


    The Star-Ledger - NJ.com

    Honeywell exec says firm will stay in New Jersey
    The Associated Press
    Chris Christie that his administration will work with the Legislature to expand a tax credit program aimed at retaining companies. ...
    Gov. Christie proposes expanding grant program to keep NJ businesses in-stateThe Star-Ledger - NJ.com
    Christie: Honeywell to stay in Morris CountyDailyrecord.com

    all 80 news articles »

    Google News

  • Home | Site Map |
    © 2007