Has my credit rating gone up?

iudtuvm

Hi everyone,

My latest cc statement shows that my interest rates have dropped to 13.9% (from 22.9% purchases & 27.9% cash)

- Am I right in thinking this means that my credit rating has gone up?
- If not, why would a cc company drop interest rates? (I didnt request it)

Thanks in advance

Tozer

Not necessarily your credit rating generally (as may be considered by another company) but could be how your CC provider itself views you. May also be just making rates more competitive to persuade you to borrow...

iudtuvm

I was hoping it would be a credit rating thing but the 'persuading to borrow more', which I hadn't thought about, sounds like the case.

Thanks Tozer

(No thanks cc company lol)

Tozer

Could be a combination of the two - borrow more as you are a better risk!

Bismarck

it's their cunning plan! the more you pay off the better the risk you are....your credit rating itself is just something to buy...it won't help you get credit by itself....your credit record in the eyes of the provider is far more important...

MABLE

iudtuvm wrote: »

Hi everyone,

My latest cc statement shows that my interest rates have dropped to 13.9% (from 22.9% purchases & 27.9% cash)

- Am I right in thinking this means that my credit rating has gone up?
- If not, why would a cc company drop interest rates? (I didnt request it)

Thanks in advance

Be very careful. They can so easily put the rate up again and thats normally when their is a debt on the card.

Bismarck

hear hear...they seem to enjoy using the words "variable rate" when you are least able to do anything about it!