Contact Your Card Issuer

Once you feel ready, you can call your card issuer's customer service number (it should be on your card) and ask about reducing your card's interest rate. Here are some tips you can use and suggestions for when you don't get a yes.

• Explain your situation. Briefly explain your history with the card and if you've made lots of on-time payments. Ask for the interest rate decrease, and share why you think you deserve or need one: credit score improvements, offers you're receiving for cards at lower rates, financial hardships or other circumstances.
• Ask for a supervisor. If the first person you talk to can't help, ask to speak with a manager or supervisor who may have more authority. Be polite but firm and persistent. Negotiating your interest rate is a perfectly reasonable thing to do.
• Ask for a temporary change. If the supervisor doesn't offer a permanent reduction, see if they'd be willing to temporarily lower your rate or offer some type of hardship option.

How to Avoid Credit Card Interest

Regardless of your card's interest rate, it's best to avoid paying interest altogether. While it can be hard to avoid taking on debt if you need to use a credit card for emergency expenses, there are some ways to avoid paying interest on everyday purchases.

• Treat your credit card like a debit card. Only use your credit card for a purchase that you can already afford to pay for in full. Then, mentally set that money aside for the upcoming credit card bill or even pay the purchase off right away.
• Pay the balance in full every month. You won't pay interest on your purchases if you pay your credit card bill's entire statement balance every month.
• Don't use your card for cash-like purchases. Cash advances may start accruing interest immediately, sometimes at a higher rate than purchases. Plus, there may be a cash advance fee. Watch out for additional cash-like purchases, such as money transfers, which may be treated as a cash advance.
• Look for promotional 0% APR offers. You may be able to get a promotional 0% APR or a reduced APR on your card temporarily. Another option is to open a new card that has a promo rate for purchases or balance transfers. Use these offers to pay off a balance over time without paying interest—but also make sure you're paying enough each month that the balance will be gone by the end of the promotional period.

Monitor Your Credit

Your credit score can impact your options with your current cards, as well as your ability to qualify for new credit cards and the interest rates and credit limits you receive. Experian gives you free credit monitoring with alerts for unusual changes and insights into what's impacting your credit scores. Keeping an eye on your credit is a good way to know when you might be able to request better terms from your creditors, or if you might qualify for a new balance transfer credit card or debt consolidation loan that could help you save money.