Credit cards issuers often change the terms and conditions of their credit cards. This regularly includes the rate that interest is being charged at.
[TABLE=3]
If there is a rise in the interest rate then the card holder should be notified. This will usually be by mail although it is becoming more common to do this by email, in order to notify you via email you will have had to agree to receive correspondence electronically. In these cases the notification may not be at first obviously referring to a rise in interest rates. This is just one of the many reasons it is important for a credit card consumerer to read all correspondence from the credit card lender and understand the implications.
If there is an increase in the credit card interest rate then it is a good idea to contact the lender. Doing this one thing will separate you from the vast majority of the other credit card consumers, in that most credit card account holders who are affected by changes of terms and conditions never act upon them.
Most credit card interest rate rises are undertaken for a reason, either the person is perceived to be less profitable or they are seen as less safe. Another reason is that the credit card user is viewed to be easier to push on to higher interest rates. It is very rare that a whole class of credit card users are put on to a higher rate uniformly.
When calling the credit card holder the consumer should ask that they keep their old credit card interest rate. The first person to take the call will almost always not have the authority to keep the interest rate at the former rate. The credit card holder, if they receive no satisfaction, should ask to speak to the manager. The manager will have a wider authority and possibly he ability to change the terms and conditions on the card in order to retain customers.
Naturally another course of action when your interest rate is raised is to look at other credit cards. These may be cards that the card holder already has, in which case they should transfer the balance on to these cards. It may also be an idea to apply for another card with a permanently lower rate, although it is a good idea to make sure this rate is for spending or balance transfer depending on what the credit card holder needs.
Most importantly the consumer should always remember that they have options and in a market as competitive as credit cards, it pays to shop around.
 |
||
| ANZ Low Rate Purchases : 0% for 3mths (Offer ends 12.06.12) then 13.39% p.a. Balance Transfer: 0% for 3mths Annual Fee: $58 Interest Free Days: Up to 55 Cash Advance : 21.49% p.a. More Info |
||
| ANZ Low Rate Apply Now |
