Credit Card Tips: Save Big Money with a 5-Minute Phone Call

Credit card companies keep raising fees and interest rates, because they are struggling to survive one of the worst economic climates in history. Every day the headlines describe how another credit card company cut back lines of credit or spending limits while it raised interest rates that were already out of control. But if you are a good customer who has not given your card company any legitimate reason to be hard on you – if you pay your bills on time and do not exceed your spending limits – then you may be able to successful turn things around in your favor. And all it takes for many cardholders is a polite and simple five minute phone call.

Call the card company customer service line, and politely but firmly explain to them that you have been a loyal customer and are satisfied with your card – except that you are able to get a much more attractive rate from another card company that has extended offers to you. Let them know that you will stay with their company only if you can justify doing so by getting a more reasonable rate, and ask them what they are willing to do for you.

If your current interest rate is 20 percent, for instance, you may want to ask for 15 percent instead. If your rate is 15 percent now you might try to get them to lower it to 10 or 12. Usually the customer service representative is already authorized to give you a small rate discount, as long as there are no problems with your account. They will often offer you a lower rate on the spot, and if they don’t you have nothing to lose.

But if your phone call only gets you from 20 percent to 18 percent, for example, you can pat yourself on the back. You just scored a whopping 10 percent discount and it only took five minutes. That’s a much better rate of return than most Wall Street wizards can boast.
Offshore Pro Group