Many cardholders are more than familiar with the recent credit card interest rate rises in recent months, prior to the 
new Credit Card Act just enacted that prevents the increase without sufficient notice. These rises essentially stemmed from the credit card companies trying to recoup losses suffered from account holder’s defaults and before the new laws, there was little consumers could do about the changes in interest rates that occurred.
However, now that consumers and the industry are trying to get back on good terms, there is a way to prevent credit card interest rates from making an impact on consumers. Consumers who wish to stay on the good interest rate side of the equation need to stay vigilant about paying off their monthly balances.
Pay In Full Each Month
Consider that if you pay your balance in full each month before the due date, you are essentially bypassing the interest rate entirely. By paying the full debt within the time of the allotted grace period, your loan from the credit card company is free. This all comes down to consumer financial responsibility and smart spending. If you don’t have the cash to back up the purchase, you have no business charging to the card. Except in extreme emergencies, you should always have the cash on hand before charging any purchase.
Renegotiate Your Interest
If your credit interest rate has already risen at some point, you may be able to negotiate a lower rate with your creditor by contacting them directly. If you have been late on payments in the past, it’s in your best interest to continue making timely, in-full payments to get back on track before approaching the company for a better deal. Credit card companies are generally willing to work with good and loyal customers in an effort to keep them.
If your credit card company is not willing to help you out with a reduction of interest rate when you have been in good standing, it may be time to shop around for a new credit card. Only threaten your current credit card issuer that you’ll take your business elsewhere if you really mean it. Otherwise an empty threat may just get you on their bad side. There are a lot of cards on the market so be sure to shop around to find one that best suits your lifestyle, such as rewards cards for common purchases you make or cash back card deals that help put money back in your pocket or that you can use toward outstanding balances.
Remain in Financial Control
The key to lowered rates and better deals is remaining financially responsible and paying your bills on time. Always pay above the minimum amount each month to help pay down debts faster if you are not in a position to pay the balance in full.
Eliminate All Debts
If you still retain balances on one or several cards, it may be time to supplement your income and dedicate the extra cash straight to credit card bills. By eliminating debts, you can improve your credit score and open the doors for better cards with better rates. The motivation to get financially stable will often result in better budgeting habits that last a lifetime. If you follow the simple rules of only charge what you can afford, you can eliminate high debt and begin to use your credit cards to your own financial benefit.
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Great blog. I really didn’t understand much about APR and since my debit card was frauded last year, I’ve tried to make an effort to understand everything I can about credit and debit cards