How to ask your credit card provider for a lower interest rate

Once you feel ready to ask your card issuer for a lower interest rate, the negotiation can begin. Here are four steps that can help you secure a lower interest rate on a credit card you already have.

1. Call your card provider

Contact your credit card issuer using the number on the back of your credit card and explain why you would like an interest rate reduction. Start by highlighting your history with the company and mention your good credit and history of on-time payments. 

Next, mention any lower credit card rates you’ve been offered or found in your research. For example, you can tell your card issuer about a better competitor rate to see if the company will match it.

2. Don’t settle if your request is denied

The credit card company might initially deny your request or offer a new rate that is still higher than you hoped, but you don’t have to settle if the resolution doesn’t meet your expectations. 

You can always ask again or request an explanation for the decision. If you feel like you’re not getting anywhere on your first phone call,  try the HUCA method -- hang up, call again -- to see if you get better results with another representative or a manager. 

3. Ask for a different benefit

If the company refuses to lower your interest rate, ask what else it can do to keep you as a customer. Some customer service agents might have the authority to offer bonus points or additional incentives instead of a lower rate, but you’ll never know unless you ask.

4. Request a temporary rate reduction

If you’re worried about paying down a balance with your current interest rate, ask for a temporary reprieve. The issuer might offer you a lower interest rate for a short period of time. This may not be the best long-term solution, but getting a lower interest rate in the short-term could help protect your finances while you figure out your next steps.