Is it due to high-interest rates you avoid getting a credit card? Your concern regarding rates not being in the budget is good. But a credit card can offer different types of convenience also.
The sudden upsurge of the balance amount in the account could be because of interest. However, it is not the sole reason, as there may be many. The inept use of the card to make pricey purchases should not be overlooked.
It is not that interest rates are high for every card user. You have the liberty to negotiate for affordable rates. Everything will depend on your expertise to convince the right person.
Your research about the credit card company can do wonders. Besides, you might be required to make a few phone calls. It will guide you to find a trace of that source you have been looking for.
Therefore, the importance of thorough research is huge. It ensures getting loans with no guarantor and no fees despite the bad credit.
Instead of dropping the idea of getting yourself a credit card, put some effort into bargaining for the best rates. You can take advantage of different offers with this card.
Being within your limits is the key to making the most out of this card. This blog shares vital and valid points that you must keep in mind while negotiating for the best price.
Pointers, you should not overlook
You should pay attention to aspects before reaching out to the credit card company. Remember these pointers ahead of starting the negotiation process.
Review your credit scores
Your credit scores can be your biggest weapon. It can even help you win the negotiation process. For this reason, it is necessary for you to make validation about your current scores.
It will give you clarity on where you are standing currently. You must know that the credit card provider will also have a look at your scores before taking part in the bargaining process.
You can easily extract a free report. Study it further to understand the payment history. This report can tell you about the debt to income-ratio.
Analyzing the report lets you determine the probability of getting affirmation from the credit card company. Besides, it allows you to feel confident and approach the credit card provider for better rates.
Another point is that you get the chance to improve your scores in case you spot unfavourable scores. All this will be possible if you examine your credit report thoroughly.
Research for competitive offers
How much you should bargain can be known by carefully exploring the market. Look around for competing credit card providers. Check out how they are charging interest rates.
You can search for other providers claiming to offer low rates. Compare all the offers cautiously. It will help you find out the lowest of all.
This information will be vital for you. In fact, it can place you in an advantageous position. It is because you can negotiate with the credit card number showing the current market scenario and other facts and figures.
Give the credit card provider a call
Now it is time you must present your proposal. Your good reputation concerning on-time payment is indeed an advantage for you.
Don’t forget to mention it ahead of initiating the conversation. Don’t wait for the credit card company to appreciate your actions! It will not be beneficial for them. Thus, they will tend to avoid this topic.
Finally, raise your concern regarding lower interest rates. Make your point strong by mentioning affordable rates provided by other companies. Tell them that you did thorough research before sending out a request to them.
Don’t agree too early
The credit card company will most likely not address your concern at the beginning. So, the process might take a little longer. In fact, it can be tedious as the credit card company will not get ready to approve your request so easily.
Don’t be in a hurry! Remember that you need lower rates and stick to your point. Don’t expect a quick response from their end on the first call itself.
You might have to call them again and again. Every time a new representative will take your call. So, be ready to put effort. Always enquire them about transferring the call to a higher authority.
Demand other facilities
It might happen that despite all efforts, the credit card denies your request. In this case, you can do one thing. You can ask the company for a different set of benefits.
These companies will never like to lose a precious customer like you. Thus, they might get ready to offer additional benefits like bonuses, rewards or other types of incentives.
Opt for balance transfer cards
This should be your option when the credit card company denies helping you out. Balance transfer cards come with zero to low APR charges. These are provided with introductory offers. Although the offer exists for a limited span, you can utilize it to serve your own purpose. Please note that these cards will levy a certain amount of charge to transfer the debt.
The bottom line
A credit card company might not show interest when approached for negotiation. You should not give up so easily. You have to stick to your goal. The result will not disappoint you surely.
There is no rule that says you should not bargain with the credit card company for cost-effective rates. Negotiation often works in different types of circumstances.
You can apply this tactic when you need money now and look for loans. One thing you must know is that this attempt from your end will not have an impact on your credit scores. Therefore, there is no reason for you to take the stress.
When rates are within your limit, you will enjoy stability in your financial state. It will also give you an opportunity to reap the benefits of credit card rewards and discounts to the fullest.
All you should do is practice the steps discussed in this blog.
Emma Anderson is a financial advisor at Quickloanslender who always believes in researching hard to know her clients’ financial problems. She takes the time to understand their financial wants and needs to write the blogs on them as the solutions. In her long 14 years of experience, she has written plenty of blogs on the financial and business sectors of the UK.
Emma Anderson has been recognised for her work in financial planning and her blogs are regularly published in the website of Quickloanslender. As far as her educational qualification is concerned, she has done Masters in Accounting and Finance, and done PG Diploma in Creative Writing.
