Have you ever wanted to avoid paying late fees on a statement or not pay outlandish interest on your purchases? Well, all you have to do is…ask.
According to a new study by CreditCards.com, a credit card comparison website, the findings suggests that cardholders who simply inquire about receiving a break from either issue often times receive it. The survey findings highlighted that close to nine out of 10 credit card holders who missed a payment or asked for a late-fee waiver were given it by card issuers.
The general conclusion from the study is that the terms of agreement won’t be changed voluntarily. Instead, customers will have to take that step to ask: if your card comes with a 30 percent interest rate then just ask for it to be reduced to 22 percent.
It should be noted, however, that clients who have an impeccable record will often be given more leeway than someone who does not. For instance, a cardholder who has been using the card for years but accidentally missed a payment will have a better chance of obtaining a break than an individual who regularly misses a payment or who is deeply in debt.
Furthermore, the customer’s standing with the financial institution will play a major factor in requests to waive fees or lower interest rates. Clients who have large balances in their checking and/or savings account with the same bank or have a mortgage in stellar standing would have an increased negotiation chance.
Customers’ age and income are other aspects, says the new survey: nearly three-quarters (72 percent) of households with an income of a minimum of $75,000 and 79 percent of cardholders between the ages of 50 and 64 were able to get some leniency from the credit card issuer.
“We were surprised with the success rate. It’s probably the best time in years to ask credit card issuers for a break. I don’t think [people] realize how good of a chance they have at being successful. It’s as simple as that,” said Matt Schulz, CreditCards.com’s senior industry analyst, in a statement. “I think what it tells you is that when in doubt, give your credit card issuer a call. You’ve got a good chance of working it out.”
Of course, if you’re unable to have your request granted then politely ask to speak to a supervisor. “If the person who you initially talk to turns down your request (which is likely), politely ask to speak to the supervisor,” Bill Hardekopf, the CEO of LowCards.com, told MarketWatch. “The supervisor is in a much better position to grant these requests.”
When in doubt, always call your credit card issuer and ask for a break, even if you think you can’t get it. What’s the harm in trying?
The website also released the newest national average annual percentage rate (APR), which declined to 15.05 percent, down from 15.06 percent for the past four weeks.