Most cardholders who asked for lower interest rates got them, survey finds

Fewer credit cardholders asked their companies for lower interest rates or waived fees over the past year. 

However, most people who did ask were successful, according to a LendingTree survey.

This was the sixth year LendingTree asked cardholders about requests for lower annual percentage rates, waived late fees and reduced annual fees.

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By the numbers:

According to the survey:

• Eighty-four percent of people who asked for a lower interest rate received one. The average rate reduction was 6.3 percentage points.
• Ninety-two percent of people who asked to have a late fee waived were successful.
• Sixty-four percent of people who asked to have a foreign transaction fee waived or reduced succeeded.
• Sixty-one percent of people who asked to have a balance-transfer fee waived or reduced were successful.
• Ninety-four percent of people who asked to have an annual fee waived or reduced got their request approved.
• Nearly 4 in 10 cardholders said they had a fee waived or interest rate lowered without speaking to a customer-service representative.
• More than half of cardholders said inflation has made them more likely to ask for a break.

Why you should care:

Requests for lower interest rates were successful more often this year than in any previous year of LendingTree’s survey.

The average reduction was 6.3 percentage points. For example, a borrower with $7,000 in credit card debt could save about $1,346 in interest by lowering the rate from 25% to 18.7%, while continuing to pay $250 each month.

LendingTree said cardholders do not need perfect credit or a high income to make a request.

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Tips for asking your credit card company

What you can do:

Cardholders can improve their chances by:

• Asking after making on-time payments or improving their credit score.
• Politely explaining why they want a lower rate or waived fee.
• Mentioning competing offers from other credit card companies.
• Using the issuer’s online chat tool or automated phone system.
• Trying again later or speaking with another representative if the request is denied.

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Cardholders should be specific about what they want, whether it is a lower interest rate, a waived late fee or a reduced annual fee. A short request could potentially save them hundreds or thousands of dollars.

Personal Finance