Credit Card Negotiation

All things in life are negotiable. It is a saying I have learned to believe. Even credit card negotiation.

I used to be one of those nasty credit card collectors that called you to harass you. I know you would spit on me if you could, but just listen for a second.

I was often told how nice I was and people would request to speak to me. There really are nice debt collectors. Isaw my job as helping people get a hold of their situation. A lot of people just want to avoid collectors or large bills they can’t pay.

But acting like an ostrich won’t make the problem go away. And once you face it, you will realize it’s not as bad as you think.

So here are a few tips for credit card negotiation from someone who’s been there.

  • If you have ever been late on a payment before chances are your interest rate went up. It was automatic. The bad news is this cannot be reversed immediately.

    But if you pay on time for a year your interest rate can drop again. But not automatically. This generally only works for people who have been late before but have been current for a long time.

  • Those late and over limit fees are negotiable. As a debt collector this was my first tactic when I met a reluctant payee. You can ask for some or all of those to be removed. If you are willing to get caught up credit card negotiation can be helpful to remove these fees that will only add years to your payments.
  • It costs the credit company a lot for you to be in collections continually. If you are constantly getting phone calls and notices that is costing the company money. They are willing to work with you to get as much as they can from you, for as little money as they can. In other words you can negotiate smaller payment amounts or reduction of fees, if you show an ability to pay your bill.
  • Credit card negotiation can include settling for a smaller amount. This tactic should be a last resort, only to avoid bankruptcy. This looks very bad on your credit. But showing that you are at least willing to pay part of the amount is better on your credit report than bankruptcy. If a credit company has to write off your total amount, they are not happy. They would like to get some money from you. So settle for a smaller amount. That way both parties are satisfied and you can avoid bankruptcy.

If you talk to someone that is not willing to work with you ask to speak to a supervisor. Or hang up, and call back. The people that receive calls instead of make calls are generally happier and more willing to work with you.

If you are proactive credit card negotiation is easier and more fruitful. Don’t be afraid of those big credit companies. There are regular people who work there. They probably don’t make a lot of money and understand your plight.

If you can engage in credit card negotiation you will be able to get out of debt faster and then make sure and avoid more credit card debt.

"A man in debt is so far a slave,"
Ralph Waldo Emerson.


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  • The Richest Man in Babylon
  • 6 Thinking Hats
  • How to Win friends and Influence People

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