ORLANDO, Fla. – Credit card debt and the hefty annual percentage rates, or APR, have Florida consumers struggling to pay off those bills that, on average, stand at more than $8,500.
With rates as high as 25%, APR credit analysts have found lenders are willing to cut those interest rates by as much as 6%.
Matt Schulz, chief credit analyst at lendingtree.com, said a new survey found a simple phone call to your lender has a good chance of getting a better deal.
“That’s really a big drop,” Schulz told News 6. “I mean, we’re talking about dropping from 25% to 19%.”
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Assuming a debt of $8,500 at 25% over two years, the interest alone would be $2,388 while at 19%, it would be $1,784, which is a savings of $604 in interest.
“It’s absolutely worth your time to pick up the phone and ask for these breaks because they can save you real money,” Schulz said.
According to the survey, the requests most likely to be granted are waived or reduced annual fees, with 93% approved, and increased credit limits, with 86% approved.
“The success rates for both requests are the highest since we began asking in 2019,” LendingTree reports. “However, when it comes to annual fees, issuers are more likely than in previous years to only reduce the fee than waive it.”
Another surprising concession centers on fees for a cash advance.
LendingTree found “slightly more than half (52%) of those who asked to have a cash advance fee waived got their request granted.”
Those fees are typically 3% to 5% of the total amount withdrawn.
If you have an unemployment, consumer or investment issue, email makeendsmeet@wkmg.com or text the words “Make Ends Meet” along with your issue to 407-676 7428.
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