One finance area that is of consistent concern with many people is: What can I do to reduce my INTEREST RATE on credit card & long term debt accounts?
It seems that more and more people are seeing their interest rates climb as a result of multiple factors. There isn't much any of us can do about fed policies of adjusting the prime rate. Sometimes I wonder if they have ANY concern about the little guy at the bottom of the finance pile. Mostly, they appear focused on how interest rates will impact the economy, not you or me!
There are also those people who just can't seem to pay their bills on time! Or those who just don't have the money to pay their bills on time!! I wonder if they realize that missing a payment by even a single day can have serious interest rate implications? My credit card interest rates climbed to 29% across the board before I got a handle on them again. It's difficult to pay off a credit card when they keep piling more charges on!!
However, there are options available to reduce your Interest Rates:
You can contact your Payee and request that the Interest Rate be lowered. Sometimes if they have interest rate promotions in effect, they will accommodate your request .
You may have the option of transferring the Loan Balance to a different account. One with a lower Interest Rate and available credit remaining.
If you own a home, you can consider opening a Home Equity Line of Credit. That will provide you with money to payoff or consolidate higher interest rate loans.
If you have a 401K account, consider taking a loan on your vested balance to consolidate High Interest loans. The Interest Rates on 401K loans are usually low, and all interest you pay goes back into your own 401K account!!
If none of those options are not available to you, another is to open a new account with another payee who is offering a low introductory Interest Rate. Those introductory rates are temporary though, and you need to make sure you understand the long terms rates and conditions.
Maybe you have a friend or relative that can provide you an interest free loan to payoff your high rate accounts! Be careful with this option... Make SURE you pay them back quickly, and without unnecessary delays!! After all, it's not a GIFT just because you got it from a friend. It's a loan and must be paid back!
These are just some simple options that "some" people may be able to take advantage of for reducing their interest rates. Obviously, nothing works for everybody. But if you stay focused on your goal of reducing rates, chances are good that you will eventually find a way!
Good luck!
