What can I do about high interest rate credit cards?

Question

Can I transfer my balances to other credit cards with lower interest rates?

Answer 1

Yes, if you can get a better card. Most of the time, you have high interest cards because you had bad or no credit history, so if you have changed that, then you might have a good opportunity.

Shop around for a card with a good offer on transfered balances. It's just a matter of comparing the different offers you get in the mail. You can get like 6 mos or a year without interest with some cards on transfered balances. - BTW, don't put down your transfer balances on the application itself, bc you don't know yet what interest rate you will get. If they give you a good one, THEN you should transfer the balances.

Look out for annual fees. Avoid them like the plague. Most cards with annual fees are the reward points variety, which are only a good deal if you REALLY do use the rewards program all the time.

In a market with rising interest rates, you should go for a fixed interest rate card. In a falling interst rate market, you want a variable rate card. Right now interest rates are stuck, so I don't know what to tell you on this.

Answer 2

YES! Use those offers to your advantage!

I had several high interest credit cards (1 was a Visa and the others were department store cards). I opened my junk mail out of boredom one day and found an offer from my bank for a card with 0% interest on balance transfers. I applied for the card, transferred the balances, and cut up the high interest cards as well as the new card from my bank.

I am paying of the new card within a year. I cut it up because if I made any purchases on it, the purchases would accrue interest until the transferred balances are paid off.

Answer 3

Hello, To answer your question, you should ask yourself these other questions. 1. Will I carry a balance on this card for more than 29 days. 2. Does this card offer me benefits that my other cards don't, ie; travel and cancellation insurance, purchase protection. 3. Is there an annual fee. If it's a store card get rid of it, avoid the extra 10 - 15% ddiscount if you sign up now trap. Just ask them when are they having a sale. If you don't have what it takes to resist, use a low bearing interest card (10- 15%) Unless the card is offering travel and cancelation insurance, you don't need it. Be careful of low intruductory rates especially after the grace period when you might have to carry a balance at a rate of 18-28%. Not paying your minimum monthly payment, and carrying a balance grater than 75% of the limit, and constant credit seeking (more than 6 per year), collections, proposals, any of these combination will dramatically decrease your credit rating. Hope that was helpful.

Answer 4

Credit card debt normally is the biggest part in households’ debt, and since the interest is moving to a rising environment, it hurts your wallet more. However, surrendering means you lose all, pulling the trigger you can handle it. Let’s look for 0% or low-rate balance transfer offers on new credit cards to pay down your current credit card debt.
But you need to remember that the low rate card will be expired in 12 to 24 months, so utilize this to minimize your trouble in credit aggressively. And as long as you keep the payment, the more dollar paying, the lower rate going towards.
And keep in mind that after low rate expired, the new rate would be very high then put your eyes on the promotion date.

Answer 5

Yes you can. For starters, check out 'best credit cards' under Yahoo shopping. They offer balance transfer cards for those with bad to excellent credit up to x amount of $. Also some credit unions may offer you a much better deal than you are getting now. There are too many credit card companies who charge enormous interest fees. No wonder so many people never seem to get out of debt to them. Anyway, by doing your 'homework' you will find a company or 2 that offers much better rates than you are getting now. Happy shopping for a much better rate.

Answer 6

No - because if you have high interest rate credit cards, your credit is probably too bad to be able to get a low-interest card with sufficient balance to cover all of your debt.

Answer 7

Best answer: pay them off.

Next best: transfer balances to lower rate cards. Just remember that you'll probably be paying a big fee to transfer, so that almost defeats the purpose. Unless you're paying 20% plus, just leave it alone and work on paying it down.

Answer 8

Go found another low interest credit card. Most have one year O% transfer rates.
here to help you found it
http://www.bestcreditrates.net

Answer 9

transfer balance to low/no introductory rates, pay on time and you'll eventually get offers for lower fixed rate cards.

Answer 10

Contact the institutions you have your cards with currently and ask them to lower your rates as you are trying to get out of debt.