Many credit card users in the United States find themselves paying a crippling rate of interest, which can have a real financial impact when it comes to spreading repayments on the balance of the card. Many others find themselves being hit with occasional late payment fees, which can bump up the balance on the card and make it increasingly difficult to clear the debt.
However, according to a recent report there are many cases in which cardholders could get these fees waived or even get the interest rate on the card reduced simply by asking the credit card company. This is something that has proven particularly effective amongst cardholders with a good track record with the company according to Creditcards.com, which carried out the recent research.
A good track record can help
Officials who were involved in the research said that having a good track record with the credit card company along with a good credit score could prove invaluable when it came to getting occasional fees waived or getting the interest rate on the card lowered. This in turn could save cardholders a lot of money, particularly those who use their cards on a regular basis and then spread the repayments over a period of time.
The research showed that almost 90 percent of credit card holders who had asked for their late payment fee to be waived had been successful. In addition, nearly 80 percent of those who had asked for their interest rate to be decreased had also been successful. However, the figures did also show that the success rate was a lot lower amongst younger consumers, with only 56 percent being granting lower interest rates after asking their credit card company. Experts said that this was down to the fact that younger consumers may not yet have had the time to build a track record with the credit card company, which in turn reduced the chances of getting a rate cut.
Officials also said that although getting fees waived or rates reduced was often just a case of asking the credit card provider, only 20 percent of people had actually tried their luck. One expert said that people often didn’t realize that they had the power to negotiate with credit card companies and as a result they simply didn’t bother trying. However, he added that the credit card industry was extremely competitive and this was something that cardholders could use to their advantage in order to get what they wanted from their own provider.