Federal Interest Rate Cut Impact on Credit Card Rates
The lowered fed rate could affect the interest rate charged by your credit card company.
If you have a variable rate credit card (call your issuer if you are not sure), you could see your interest rate go down slightly.
Although maybe not right away on the first or second billing statement.
If your credit card issuer does pass the rate cut savings on to you, you could save hundreds of dollars if you have a very high balance.
Unfortunately, for many people the fed rate cut won't deliver substantial savings, and my be only about $2 per month on a $5,000 credit card balance.
The first fact for cardholders to remember, is that credit card companies can raise their interest rates at any time and very quickly, but are typically much slower (up to two or three billing cycles) when it comes to decreasing the interest rate they charge.
The second fact for cardholders to know, is that they can always negotiate a lower interest rate directly with the card issuer.
If your credit is good; or even 'fair', and if you haven't already called your issuer within the past 6 months to negotiate a better rate, call them and threaten to switch to another card.
There is a link below where I have compiled a list of the best credit cards available.
Compare offers and apply online for a quick decision.
These are the most stable cards on the market.
Most of them have very low interest rates and no annual fee's.
All rights reserved.
Article may be reprinted as long as the content remains intact and unchanged and all links remain active.
If you have a variable rate credit card (call your issuer if you are not sure), you could see your interest rate go down slightly.
Although maybe not right away on the first or second billing statement.
If your credit card issuer does pass the rate cut savings on to you, you could save hundreds of dollars if you have a very high balance.
Unfortunately, for many people the fed rate cut won't deliver substantial savings, and my be only about $2 per month on a $5,000 credit card balance.
The first fact for cardholders to remember, is that credit card companies can raise their interest rates at any time and very quickly, but are typically much slower (up to two or three billing cycles) when it comes to decreasing the interest rate they charge.
The second fact for cardholders to know, is that they can always negotiate a lower interest rate directly with the card issuer.
If your credit is good; or even 'fair', and if you haven't already called your issuer within the past 6 months to negotiate a better rate, call them and threaten to switch to another card.
There is a link below where I have compiled a list of the best credit cards available.
Compare offers and apply online for a quick decision.
These are the most stable cards on the market.
Most of them have very low interest rates and no annual fee's.
All rights reserved.
Article may be reprinted as long as the content remains intact and unchanged and all links remain active.
