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Credit Card Debt Calculator

The Credit Card Optimizer helps you determine the best distribution of your credit card debt. By entering your credit card balances, rates and credit limits this calculator determines which balance transfers will produce the greatest savings.
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How To Decrease Your Credit Card Rate

Sometimes, there’s no need to get new loans and credit cards; why not lower the interest on your current ones instead?

Most people don’t even consider this approach. You don’t just have the opportunity to reduce your interest rate; there are also other benefits too.

Moreover, let's look at ways together how we can reduce the interest rate on your credit cards.

1. Achieve A Good Credit Score

You can lower your rate just by having a great credit rating.

Your credit score shows the borrower whether or not you pay your debts off on time. If you want to know your credit score, learn more here. If you don’t delay payments and your debt is in good standing you’ll have a great credit rating. Furthermore, this shows the lender that you are trustworthy.

Also, you have the option to request a free credit report as well.

You can obtain your credit from the following credit bureaus: Equifax, Experian, and TransUnion. Obtaining these reports is revealing and insightful. Also, getting your credit reports gives you the opportunity to view all of your financial information, including your bank accounts.

Don’t forget:

It’s possible that there are errors on your credit report that gives you a negative score. Furthermore, remember to always dispute negative information that’s on your credit report. If you are in need of credit, read here how you can get a credit card with no history.

Tip: How can you improve your credit score?

In most cases, people only pay the interest on their loans. Your payments not as effective if you’re only paying interest. Paying the principal is crucial to paying off your loan. Reducing debt improves a persons credit score rapidly. In addition to, technology is always here to help.

The quicker you pay off debt, the faster your credit score increases. Also, don’t worry if you have bad credit. Here are some ways to repair your bad credit.

2. Negotiate With Your Credit Card Company

Meet your lender head-on. Because banks want happy customers, they have ways to lower your interest rate. On the other hand, it’s not an easy task.

Figure out the steps to achieve this goal. If you are in need of a lender – start here. It’s surprising how so many people are hesitant to ask for better terms. In addition to, some people think it’s a waste of time.

  3. Convince Your Bank

Want to know how?

First off, show them that you make consistent payments on time. Also, leverage the fact that you are a long-term client. This is a serious statement because banks love having a loyal customer base. Also, tell them you have better offers from other competitive banks.

It's important to be persistent. If you can't take the heat, success is not possible. Also, don't be too adamant about your own terms. Always remain open to making compromises.

4. Transfer Your Balance

A balance transfer is transferring a balance to another card.

If the new card has a lower interest rate, you have hit the jackpot!

Keep in mind:

The amount of debt you transfer to your new card can't exceed the balance of what's on that card. For example, if you have a balance or $7000 on your old card, and your new card has a balance of $5500, only $5500 of that $7000 is transferable.

Most credit card offers an appealing introductory interest rate. Moreover, in some cases, it is zero percent interest. When the introductory period is over, you begin paying the normal interest rate. Also, take notice of various fees such as balance transfer and annual fees.

Final words

Having your interest rate reduced on your card is a huge step to save money and invest in other things. The main way to achieve this goal is to maintain an excellent credit score.

As of result, your interest can be reduced without you even asking for it, as well as having better terms. Contact your bank and negotiate if that’s not the case.

Remember: most people succeed in renegotiating new terms for their existing credit cards. If all else fails, you have the option to initiate a balance transfer.