Welcome!

News Feed Item

MyRatePlan's Guide to Getting a Lower APR

SEATTLE, WA -- (Marketwired) -- 07/25/14 -- MyRatePlan, a leading source on the credit card industry, recently looked into the problem of high credit card rates. Many Americans pay out hundreds, or even thousands, of dollars each month on credit card interest. These payments can put a serious cramp on a family's budget, but there is good news. Many times, it is possible to find a lower APR. Here are some steps that consumers can take to ensure that they are paying no more to credit card companies than necessary.

Find out the Current Interest Rate Charged

The first step is to find out the current rate that the bank is charging. This rate should be on every monthly statement. There can be different rates for purchases, balance transfers and cash advances. Some cards for consumers with good credit will have rates that are under 10 percent. Other cards can charge up to 29.99 percent. Depending upon the amount owed, this difference in interest rates could add up to huge outlays.

Look around for Lower Rates

Next, consumers should check to see what rates are currently available for new cardholders. Many banks will offer introductory 0% APR rates for new borrowers. At times, these rates can even be 0 percent for six to 18 months. This search should include both the current card held and other cards that are available.

Compare Interest Rates and Credit Rankings

There are a number of websites that can give consumers a great idea of what the average interest rates are throughout the country. Knowing this information can be beneficial when talking to one's credit card company. Additionally, those who have credit card debt should know what rate they should be paying based upon their credit score. Promotional rates are generally the cheapest. Those who have outstanding credit scores will have lower rates than average and subprime borrowers. Those who fail to pay on time can get slapped with a punitive rate that can reach 29.99 percent. However, those who have outstanding credit have no reason why the bank should be charging them the same interest rate as someone with average credit.

Call the Bank

After gaining all of this knowledge, MyRatePlan recommends that cardholders call their bank to try and get a lower APR. Those who are able to bring solid information to the table are more likely to get a bank to listen to them. It is wise to use the information gathered to request a lower interest rate. The initial customer service rep is likely to deny the request. Should this happen, consumers should ask to go up the chain to their supervisor. This process might have to be repeated at the next level. Asking to talk to the supervisor immediately after getting the name and ID of a customer service representative should work. After explaining the current situation, the bank will frequently agree to lower the interest rate. Banks do this on a regular basis for a wide clientele. Why not try to take advantage of the opportunity to save money on your debt payments?

Be Prepared to Transfer a Balance

Other banks will likely offer an interest-free introductory period for new cardholders. If an existing credit card company refuses to lower their interest charges, borrowers would be well-served to apply for a card that charges 0% APR on balance transfers. The interest-free period can sometimes reach as high as 18 months. Those with solid credit should not have a problem getting approved, but they should expect a one-time balance transfer charge of up to 3 percent of the amount transferred.

Ask about Forebearance Plans

A debt management plan might be available to consumers who've lost a job or had a major illness. Many who inform credit card companies of their current crisis can get the bank to lower their interest rates and set up payment plans. Banks have an incentive to do this because getting the principle back is better than getting no money at all. Of course, it is important to remember that some banks will report this activity to reporting agencies, and a borrower's credit score can take a major hit.

Credit card companies are frequently willing to lower interest rates for consumers. Borrowers with knowledge are more likely to get what they want, but those who choose not to contact their bank will not get any reductions at all.

About MyRatePlan:

MyRatePlan.com is a leading comparison site that allows users to compare credit cards, mobile phones, cell phone plans, and more. MyRatePlan was founded in 1999 to help users find the best recommendations for them based on innovative and proprietary tools and customer input.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend 21st Cloud Expo October 31 - November 2, 2017, at the Santa Clara Convention Center, CA, and June 12-14, 2018, at the Javits Center in New York City, NY, and learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
21st International Cloud Expo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Me...
DevOps at Cloud Expo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to w...
SYS-CON Events announced today that CA Technologies has been named "Platinum Sponsor" of SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business - from apparel to energy - is being rewritten by software. From planning to development to management to security, CA creates software that fuels transformation for companies in the applic...
@DevOpsSummit at Cloud Expo taking place Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center, Santa Clara, CA, is co-located with the 21st International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is ...
"When we talk about cloud without compromise what we're talking about is that when people think about 'I need the flexibility of the cloud' - it's the ability to create applications and run them in a cloud environment that's far more flexible,” explained Matthew Finnie, CTO of Interoute, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
In 2014, Amazon announced a new form of compute called Lambda. We didn't know it at the time, but this represented a fundamental shift in what we expect from cloud computing. Now, all of the major cloud computing vendors want to take part in this disruptive technology. In his session at 20th Cloud Expo, Doug Vanderweide, an instructor at Linux Academy, discussed why major players like AWS, Microsoft Azure, IBM Bluemix, and Google Cloud Platform are all trying to sidestep VMs and containers wit...
In his session at @ThingsExpo, Eric Lachapelle, CEO of the Professional Evaluation and Certification Board (PECB), provided an overview of various initiatives to certify the security of connected devices and future trends in ensuring public trust of IoT. Eric Lachapelle is the Chief Executive Officer of the Professional Evaluation and Certification Board (PECB), an international certification body. His role is to help companies and individuals to achieve professional, accredited and worldwide re...
Amazon started as an online bookseller 20 years ago. Since then, it has evolved into a technology juggernaut that has disrupted multiple markets and industries and touches many aspects of our lives. It is a relentless technology and business model innovator driving disruption throughout numerous ecosystems. Amazon’s AWS revenues alone are approaching $16B a year making it one of the largest IT companies in the world. With dominant offerings in Cloud, IoT, eCommerce, Big Data, AI, Digital Assista...
When growing capacity and power in the data center, the architectural trade-offs between server scale-up vs. scale-out continue to be debated. Both approaches are valid: scale-out adds multiple, smaller servers running in a distributed computing model, while scale-up adds fewer, more powerful servers that are capable of running larger workloads. It’s worth noting that there are additional, unique advantages that scale-up architectures offer. One big advantage is large memory and compute capacity...
Both SaaS vendors and SaaS buyers are going “all-in” to hyperscale IaaS platforms such as AWS, which is disrupting the SaaS value proposition. Why should the enterprise SaaS consumer pay for the SaaS service if their data is resident in adjacent AWS S3 buckets? If both SaaS sellers and buyers are using the same cloud tools, automation and pay-per-transaction model offered by IaaS platforms, then why not host the “shrink-wrapped” software in the customers’ cloud? Further, serverless computing, cl...
You know you need the cloud, but you’re hesitant to simply dump everything at Amazon since you know that not all workloads are suitable for cloud. You know that you want the kind of ease of use and scalability that you get with public cloud, but your applications are architected in a way that makes the public cloud a non-starter. You’re looking at private cloud solutions based on hyperconverged infrastructure, but you’re concerned with the limits inherent in those technologies.
The taxi industry never saw Uber coming. Startups are a threat to incumbents like never before, and a major enabler for startups is that they are instantly “cloud ready.” If innovation moves at the pace of IT, then your company is in trouble. Why? Because your data center will not keep up with frenetic pace AWS, Microsoft and Google are rolling out new capabilities. In his session at 20th Cloud Expo, Don Browning, VP of Cloud Architecture at Turner, posited that disruption is inevitable for comp...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
IoT solutions exploit operational data generated by Internet-connected smart “things” for the purpose of gaining operational insight and producing “better outcomes” (for example, create new business models, eliminate unscheduled maintenance, etc.). The explosive proliferation of IoT solutions will result in an exponential growth in the volume of IoT data, precipitating significant Information Governance issues: who owns the IoT data, what are the rights/duties of IoT solutions adopters towards t...