Lowering Credit Card Interest Rate

Kezabel

Hi All,

I was just after some advice regarding the interest rate on my credit card. First I'll give you a little history.

I opened a current account with LloydsTSB about 5 years ago. At the same time as opening my account they offered me a credit card with a £500 credit limit. After a little hiccup about 4 years ago where I defaulted I have been paying around £10 more than the minimum amount due each month. At first I didn't have a great credit rating because I'd apply for other credit cards or store cards and be refused. But gradually over the years I have actually acquired a Next account where they've upped my limit in the past 2 years from about £200 to what I have now which is a £3,600 limit (I have an actual balance though at the moment on that of less than £50 which will be paid off on pay day). Also in the last 2 years I acquired another credit card (capital one also with a £500 limit) which I also pay a little more than the minimum each month. Now in the space of about a month of each other both these cards wrote to me telling me they've upped my credit limit to £1,250 and £1,100 respectively. I'm assuming this must mean my credit score is quite good - or at the very least is getting better. Which leads me to my question..

The APR on my LloydsTSB card is 29.9%. This afternoon I did a little google search on whether I could ask the bank to lower my interest rate. To my surprise I found a load of sites that said it was possible if you had a good relationship with the cc company and a decent credit score (which is why I gave you all the information above - to show you that I must be on good terms with them and have a decent enough credit rating) and gave advice on how to do it.. Basically they advise to phone up cc company, ask if they're willing to lower the rate and then explain that if they don't you'll just transfer the balance to a lower rate card and they'll lose your business. However I did notice the sites were very 'American' so I changed the search to 'pages from the uk' which then brought up next to nothing.

What I want to know is: has anyone done this susccessfully in the UK before and if so how did you go about doing it? Or am I just wasting my energy even trying to work out what I'll say down the phone?

Thanks for any advice you can give

CLAPTON

why don't you pay your credit card debts in full each month and avoid interest altogether

Kezabel

Because I work part time and can't afford to pay it off in full.. I haven't actually put anything on either credit card in about a year. The credit cards were used to put 'essentials' on when hubby was out of work for a while due to illness. I am literally just looking at paying them off as fast as I can. And a lower interest rate would obviously be a huge help. I have no interest in adding to the debts (although I nearly had a wobble in Curry's the other day when I saw a food mixer I've been wanting for ages down to half price- so far I've remained strong..)

_Andy_

Simple - ring them and ask. They'll either say yes or no.

Kezabel

Jeez, people are so helpful! I want to know if anyone has successfully had their interest rate lowered before. If you haven't or can't be helpful why bother posting a response??

_Andy_

Kezabel wrote: »

Jeez, people are so helpful! I want to know if anyone has successfully had their interest rate lowered before. If you haven't or can't be helpful why bother posting a response??

Why the attitude? I'm telling you what you need to do. No need to be rude.
I am being helpful. Why does it matter whether people have been succesful or not? Won't affect your chances.

I stated what you need to do, which is still the case.

If you're going to be a defensive rude ungrateful !!!!!! about it then you have serious issues.

CRISPIANNE3

Kezabel wrote: »

Hi All,

I was just after some advice regarding the interest rate on my credit card. First I'll give you a little history.

I opened a current account with LloydsTSB about 5 years ago. At the same time as opening my account they offered me a credit card with a £500 credit limit. After a little hiccup about 4 years ago where I defaulted I have been paying around £10 more than the minimum amount due each month. At first I didn't have a great credit rating because I'd apply for other credit cards or store cards and be refused. But gradually over the years I have actually acquired a Next account where they've upped my limit in the past 2 years from about £200 to what I have now which is a £3,600 limit (I have an actual balance though at the moment on that of less than £50 which will be paid off on pay day). Also in the last 2 years I acquired another credit card (capital one also with a £500 limit) which I also pay a little more than the minimum each month. Now in the space of about a month of each other both these cards wrote to me telling me they've upped my credit limit to £1,250 and £1,100 respectively. I'm assuming this must mean my credit score is quite good - or at the very least is getting better. Which leads me to my question..

The APR on my LloydsTSB card is 29.9%. This afternoon I did a little google search on whether I could ask the bank to lower my interest rate. To my surprise I found a load of sites that said it was possible if you had a good relationship with the cc company and a decent credit score (which is why I gave you all the information above - to show you that I must be on good terms with them and have a decent enough credit rating) and gave advice on how to do it.. Basically they advise to phone up cc company, ask if they're willing to lower the rate and then explain that if they don't you'll just transfer the balance to a lower rate card and they'll lose your business. However I did notice the sites were very 'American' so I changed the search to 'pages from the uk' which then brought up next to nothing.

What I want to know is: has anyone done this susccessfully in the UK before and if so how did you go about doing it? Or am I just wasting my energy even trying to work out what I'll say down the phone?

Thanks for any advice you can give

What a rip off. Mine is only 10.9 for card purchases and that is the Lloyds Avios cc.