You might believe you’re stuck with the terms of your current credit card if you’re unhappy with them. But credit card companies will often negotiate certain terms, especially if you’re a good customer or have special circumstances.
Here are five things you can negotiate with your credit card company.
1. Annual Percentage Rates
The annual percentage rate (APR) applied to your credit card purchases is determined in part by your credit score when you apply for the card. Many factors can affect APRs, such as late payments, expired promotional rates, or changes to the prime rate set by the Federal Reserve.
Your credit may have improved substantially since you applied for the card, so you may be able to negotiate a lower APR. When calling to request a lower rate, you should describe your history as a satisfied customer, mention your improved credit, and have a few offers from competing credit card companies available.
2. Payment Due Date
The date of your monthly payment is usually set when you open your credit card, but you may need to change it to fit your schedule. Several credit card companies will let you change the due date over the phone, and some even allow you to do so from your online account.
3. Late Fees
You may have been automatically charged a late fee if you missed a single payment date by a day or two. But if you have a history of paying your bills on time and are prepared to make your payment right away, it won’t hurt to ask them to waive the fee. Before calling, check your terms and conditions to see if your credit card offers one-time or ongoing late fee forgiveness.
4. Credit Limit
Increasing your credit limit will increase your available card balance, giving you more spending power. Even if you don’t plan to spend more, you can still benefit from a higher credit limit by improving your credit utilization rate. Upon request, a credit card company may raise your credit limit if you’re a good customer.
5. Repayment Terms
The last thing you want to do if you’re struggling to make your monthly payment is call your credit card company. However, they may be willing to help you come up with a debt repayment plan or lump sum settlement. Often, credit card companies are open to these types of negotiations because they’d rather receive something from you than nothing. If you owe money on a credit card, call your provider before the debt goes to collections.
In Closing
Negotiating with your credit card company may require persistence. It may be necessary to speak with a manager or to keep calling if you don’t succeed right away. And if your credit card company can’t make you happy, it might be time to look at alternatives.
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