Unsecured Poor Credit Credit Cards – Bad Credit Causing Higher Interest Rates?
Posted on | January 29, 2010 | No Comments
If you are finding that your bad credit is causing higher interest rates on your credit cards and you are not alone. Many Americans with unsecured poor credit credit cards are finding that their interest rates are jumping to as high as 20% or more. Unfortunately, there is very little you can do about this if you are married to your credit card.
There are many American consumers who have no options when it comes to negotiating a lower credit card rate. Credit card companies realize that if you have made minimum payments for several consecutive months that you have no options when it comes to negotiating. You are married to your credit card and you could not live without it.
The best thing you can do to get out of this situation is to pay off your debt as quickly as possible. When you have financial leverage on a credit card company you will be able to better dictate your overall interest rate. If you claim that you are going to close a credit card account yet you have a balance of $5000 these companies know that you are just attempting to lower the rate.
By paying off your debt and lowering your overall credit card balances you will find that your credit score increases. By having a higher credit score you will be able to qualify for loans and credit cards with much lower interest rates. These lower interest rates will save you a significant amount of money over the course of your lifetime.
Author: Jeremy North
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