Debt-Fighting Credit Card Tips!
One of the main ways people get into financial trouble is by being uneducated about how to use their credit card. If you find that you have no problem keeping up with your monthly payments, then chances are, you will be able to benefit from a number of adjustments that your credit card company can make for you. Taking advantage of these benefits will definitely increase your chances of staying out of debt, and all you have to do is ask them! This doesn’t guarantee that they’ll grant your request, but if it will help your financial future, why not give it a try?
Have Your APR Lowered!
As interest rates fluctuate nationwide, it causes the APRs for credit card companies to fluctuate, which usually makes better APRs available for certain customer categories. The problem is: if there is a better APR available for somebody like you this month, they aren’t going to tell you about it. You need to call and ask about it. It’s in their best interest not to let you in on this information.
They’ll Consider Your Current Credit Score
The better your score, the better the chance that you’ll have at receiving the new APR. If your credit score is above 700 you’ve got a really good shot, and with a score in the 600’s, your chances are about 50 percent. Even if your score is significantly lower, it won’t hurt to simply call and ask.
“Can I Speak to Your Manager Please?”
If you’re sitting on a great credit credit score and a flawless payment record, and customer services representatives are still denying you, just ask to speak to the manager. If the manager refuses to lower your high APR, threaten to close the account (even if you don’t really mean it), and then see what happens. If you generally aren’t happy with the service, you might want to consider taking your great credit history elsewhere.
Have Your Credit Limit Increased!
Perhaps you want to increase your credit score, or maybe you just need more room for larger purchases, whatever the case may be, it is certainly possible to have your credit limit increased.
They May Not Have to Pull Your Credit Report After all
If you want your credit limit increased, the common conception is that your credit card company must check your credit report to see what your score is, which in turn, can lower your score. Many credit card companies, however, can increase your credit limit without looking at your report. Simply ask how much they can increase your credit limit without pulling your credit report.
When Your Limit Goes Up, Your Score Can Too
Part of your credit score calculation factors in the percentage of your available credit you are using. Credit agencies ideally prefer you’ve used no more than 25% of your available credit. If you owe $500 and your limit is $1000 you’re using 50% of your available credit. By increasing your limit to $2000 you lower this percentage.
Try to Get Rid of Extraneous Fees!
Fees help credit cards make extra money, besides the interest you pay. If you have a balance and a solid payment history you’ve got a good argument for getting fees waived or removed and it costs you nothing to try.
Annual fees are typical for charge cards where you aren’t charged interest for your balances. If you have a good history with your credit card company, call them and ask them to remove the annual fee, or else you’ll leave!
Balance transfers are usually free when you first sign up for a card, then there are often charges for future transfers. With balance transfer fees, you should call and explain that you won’t transfer a balance to them unless they waive the fee. They’re going to make money on interest for the transferred balance, and so if you threaten to transfer it somewhere else, they might waive the transfer fee before they lose out the interest opportunity.
Late fees can usually be refunded, if you don’t get charged with them. Again, if you have a solid history and get charged for a late fee, call your credit card company immediately. Explain to them that you are very upset about the charge, and that you’d like them to remove it. After all, your a good customer.
Hopefully these tips will keep you clear of credit card debt, but if you find yourself in the hole, don’t hesitate to contact The Adkins Firm, the premier bankruptcy attorney in Atlanta!