3 Ways: Get a Lower Interest Rate on Credit Cards (Aug. 2024)

Credit cards can be an excellent tool to easily and conveniently finance purchases without carting around a cumbersome collection of cash and coins. And rewards credit cards, in particular, can be a great way to get a little extra value out of your purchases.

Unfortunately, credit cards can also be easy and convenient ways to swipe your way into credit card debt — debt for which you will often pay two-digit interest rates to carry. Even if you make more than the minimum payment each month, you’re still responsible for paying interest on the remaining balance, which can add up fast. Below, we’ll take a look at how to get a lower interest credit card.

The ideal solution to avoiding credit card interest fees is to pay off your entire balance each statement cycle, it simply isn’t always an option for everyone. A more realistic option for many consumers is to find a way to lower your credit card interest rate — perhaps using one of these methods. Read on to learn about beneficial introductory offers, how to request a lower rate, and tips to improve your credit score, which can potentially lead to lower rates in the future.

No matter what interest rate your current cards are charging, the chances are pretty good that “zero” is a fair sight better. Credit cards that come with introductory 0% APR offers allow you to carry a balance interest-free for the length of the introductory period. This means that every penny you pay will actually go toward your balance — not your interest fees — saving you a bundle and helping you get debt-free faster.

Additionally, the vast majority of rewards credit cards with 0% APR intro offers also allow you to earn rewards on your purchases while still enjoying interest-free payments. To really experience a savings trifecta, pair great rewards and a killer intro APR offer with no annual fee. The best introductory offers, including our top-rated picks, have rates good for a year or more.

Bank of America® Customized Cash Rewards credit card

at Bank Of America'ssecure website

0% INTRO APR RATING

★★★★★

4.8

Bank of America® Customized Cash Rewards credit card

4.8/5.0

About this rating

Our in-house credit card experts rate 0% introductory APR offers based on:

• The promotional rate duration
• The ongoing regular APR
• Annual and other fees
• Rewards offered
• General approval rates

We also consider other cardholder needs and data points specific to the category. We then compare it to similar card offers and evaluate the terms before assigning a numerical value, in which 5.0 represents the best. Ratings are updated as issuer changes occur, and issuers have no influence on our ratings.

See Our Review»

Ashley Fricker Senior Editor

Close

OVERALL RATING

4.9/5.0

Bank of America® Customized Cash Rewards credit card

4.9/5.0

About this rating

Our in-house credit card experts rate 0% introductory APR offers based on:

• The promotional rate duration
• The ongoing regular APR
• Annual and other fees
• Rewards offered
• General approval rates

We also consider other cardholder needs and data points specific to the category. We then compare it to similar card offers and evaluate the terms before assigning a numerical value, in which 5.0 represents the best. Ratings are updated as issuer changes occur, and issuers have no influence on our ratings.

See Our Review»

Ashley Fricker Senior Editor

Close

Our Review »

• $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening.
• Earn 3% cash back in the category of your choice, automatic 2% at grocery stores and wholesale clubs (up to $2,500 in combined choice category/grocery store/wholesale club quarterly purchases) and unlimited 1% on all other purchases.
• Choose 3% cash back on gas and EV charging station, online shopping/cable/internet/phone plan/streaming, dining, travel, drug store/pharmacy or home improvement/furnishings purchases.
• If you're a Bank of America Preferred Rewards® member, you can earn 25%-75% more cash back on every purchase. That means you could earn 3.75%-5.25% cash back on purchases in your choice category.
• No annual fee and cash rewards don’t expire as long as your account remains open.
• 0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the Intro APR offer ends, a Variable APR that’s currently 19.24% - 29.24% will apply. A 3% Intro balance transfer fee will apply for the first 60 days your account is open. After the Intro balance transfer fee offer ends, the fee for future balance transfers is 4%.
• Contactless Cards - The security of a chip card, with the convenience of a tap.
• This online only offer may not be available if you leave this page or if you visit a Bank of America financial center. You can take advantage of this offer when you apply now.

• See application, terms and details.

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
0% Intro APR for 15 billing cycles for purchases	0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days (Balance Transfer Fee 3% for 60 days from account opening, then 4%)	19.24% - 29.24% Variable APR on purchases and balance transfers	$0	Excellent/Good

Additional Disclosure: Bank of America is a CardRates advertiser.

Bank of America® Unlimited Cash Rewards credit card

at Bank Of America'ssecure website

0% INTRO APR RATING

★★★★★

4.8

Bank of America® Unlimited Cash Rewards credit card

4.8/5.0

About this rating

Our in-house credit card experts rate 0% introductory APR offers based on:

• The promotional rate duration
• The ongoing regular APR
• Annual and other fees
• Rewards offered
• General approval rates

We also consider other cardholder needs and data points specific to the category. We then compare it to similar card offers and evaluate the terms before assigning a numerical value, in which 5.0 represents the best. Ratings are updated as issuer changes occur, and issuers have no influence on our ratings.

See Our Review»

Ashley Fricker Senior Editor

Close

OVERALL RATING

4.7/5.0

Bank of America® Unlimited Cash Rewards credit card

4.7/5.0

About this rating

Our in-house credit card experts rate 0% introductory APR offers based on:

• The promotional rate duration
• The ongoing regular APR
• Annual and other fees
• Rewards offered
• General approval rates

We also consider other cardholder needs and data points specific to the category. We then compare it to similar card offers and evaluate the terms before assigning a numerical value, in which 5.0 represents the best. Ratings are updated as issuer changes occur, and issuers have no influence on our ratings.

See Our Review»

Ashley Fricker Senior Editor

Close

Our Review »

• $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening.
• Earn unlimited 1.5% cash back on all purchases.
• If you're a Bank of America Preferred Rewards® member, you can earn 25%-75% more cash back on every purchase. That means you could earn 1.87%-2.62% cash back on every purchase with Preferred Rewards.
• No annual fee.
• No limit to the amount of cash back you can earn and cash rewards don’t expire as long as your account remains open.
• 0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the Intro APR offer ends, a Variable APR that’s currently 19.24% - 29.24% will apply. A 3% Intro balance transfer fee will apply for the first 60 days your account is open. After the Intro balance transfer fee offer ends, the fee for future balance transfers is 4%.
• Contactless Cards - The security of a chip card, with the convenience of a tap.
• This online only offer may not be available if you leave this page or if you visit a Bank of America financial center. You can take advantage of this offer when you apply now.

• See application, terms and details.

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
0% Intro APR for 15 billing cycles for purchases	0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days (Balance Transfer Fee 3% for 60 days from account opening, then 4%)	19.24% - 29.24% Variable APR on purchases and balance transfers	$0	Excellent/Good

Additional Disclosure: Bank of America is a CardRates advertiser.

Bank of America® Travel Rewards credit card

at Bank Of America'ssecure website

0% INTRO APR RATING

★★★★★

4.8

Bank of America® Travel Rewards credit card

4.8/5.0

About this rating

Our in-house credit card experts rate 0% introductory APR offers based on:

• The promotional rate duration
• The ongoing regular APR
• Annual and other fees
• Rewards offered
• General approval rates

We also consider other cardholder needs and data points specific to the category. We then compare it to similar card offers and evaluate the terms before assigning a numerical value, in which 5.0 represents the best. Ratings are updated as issuer changes occur, and issuers have no influence on our ratings.

See Our Review»

Ashley Fricker Senior Editor

Close

OVERALL RATING

4.9/5.0

Bank of America® Travel Rewards credit card

4.9/5.0

About this rating

Our in-house credit card experts rate 0% introductory APR offers based on:

• The promotional rate duration
• The ongoing regular APR
• Annual and other fees
• Rewards offered
• General approval rates

We also consider other cardholder needs and data points specific to the category. We then compare it to similar card offers and evaluate the terms before assigning a numerical value, in which 5.0 represents the best. Ratings are updated as issuer changes occur, and issuers have no influence on our ratings.

See Our Review»

Ashley Fricker Senior Editor

Close

Our Review »

• Earn unlimited 1.5 points per $1 spent on all purchases, with no annual fee and no foreign transaction fees and your points don't expire as long as your account remains open.
• 25,000 online bonus points after you make at least $1,000 in purchases in the first 90 days of account opening - that can be a $250 statement credit toward travel purchases.
• Use your card to book your trip how and where you want - you're not limited to specific websites with blackout dates or restrictions.
• Redeem points for a statement credit to pay for travel or dining purchases, such as flights, hotel stays, car and vacation rentals, baggage fees, and also at restaurants including takeout.
• 0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the Intro APR offer ends, a Variable APR that’s currently 19.24% - 29.24% will apply. A 3% Intro balance transfer fee will apply for the first 60 days your account is open. After the Intro balance transfer fee offer ends, the fee for future balance transfers is 4%.
• If you're a Bank of America Preferred Rewards® member, you can earn 25%-75% more points on every purchase. That means instead of earning an unlimited 1.5 points for every $1, you could earn 1.87-2.62 points for every $1 you spend on purchases.
• Contactless Cards - The security of a chip card, with the convenience of a tap.
• This online only offer may not be available if you leave this page or if you visit a Bank of America financial center. You can take advantage of this offer when you apply now.

• See application, terms and details.

Intro (Purchases)	Intro (Transfers)	Regular APR	Annual Fee	Credit Needed
0% Intro APR for 15 billing cycles for purchases	0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days (Balance Transfer Fee 3% for 60 days from account opening, then 4%)	19.24% - 29.24% Variable APR on purchases and balance transfers	$0	Excellent/Good

Additional Disclosure: Bank of America is a CardRates advertiser.

+See More Intro 0% APR Offers

Always keep in mind that your introductory interest rate will revert to the default purchase APR listed on your cardholder agreement after the introductory period has ended. The specific rate you’re charged after your intro offer expires will depend on your credit score but will, more than likely, be in the double digits, so it’s in your best interest to pay off your complete balance before your offer ends to avoid interest fees.

You may want to set a calendar alert for this because if your introductory interest rate reverts to the default purchase APR in six months or even 12 months, you may have forgotten all about the special rate and could be surprised at a sudden interest increase.

If you’d prefer to keep your current card but still want a lower interest rate, you may have success contacting your issuer directly and requesting a decrease in your rate. In fact, according to one survey, your odds are fairly good — 69% of surveyed cardholders who asked for a lower rate were able to negotiate a rate reduction with their issuer.

Interest rate decreases can be requested by calling your issuer’s customer service department. You can do a few things to increase your chances of success when you call, starting with a little research into your credit situation. Interest rates are based on creditworthiness, so knowing where you stand — and being able to demonstrate it for your issuer — can go a long way toward proving that you’ve earned a break on your interest rate.

You’re also more likely to be approved for a rate decrease if the rate you ask for is reasonable; few companies will drop your rate to zero just because you asked nicely. To determine what might be a reasonable request, look into what rates the issuer offers on the card.

Most credit cards have a predetermined APR range from which your exact interest rate is assigned based on your credit. Ranges can cover 10 percentage points or more and will often vary based on the prime rate.

This range is largely based on the risk analysis done by the issuer regarding that specific card and will, to an extent, represent the company’s risk tolerance. This means you’ll probably have the best luck if you keep your request within the predetermined range of rates.

For example, a cash back card aimed at those with good credit could have an APR range of 13.99% to 23.99%. In this case, those with excellent credit would likely receive an APR close to 13.99%, while those with more questionable credit will receive an APR closer to 23.99%. A cardholder looking for a rate decrease on this card would do best requesting a rate above 13.99%.

You may also want to look into the interest rates being charged by similar credit cards on the market. For instance, if you have a travel rewards card, compare the rates being offered by other travel rewards cards. And if you’ve received credit card offers in the mail, jot down the rates those offers included. Card companies like to keep loyal cardholders, so it may help if you can tell your issuer, “I’ve received an offer from so-and-so with this rate, can you match that rate?”

Of course, the most important thing to remember when you call is that you absolutely must be polite. While civility won’t guarantee you a rate decrease, not being civil is an extremely effective way of getting shot down quick. If the representative you speak with doesn’t have the authority to change your rate, don’t berate them for it, just request to speak to a supervisor. Be polite to everyone, peons and powerful alike.

While not necessarily the easiest method — and hardly the fastest — the surest way to consistently receive lower interest rates on your credit cards (and every other type of credit) is to build up your credit score. Interest rates are based on financial risk, and your financial risk is determined based on your credit report and score. Those with excellent credit will consistently receive the lowest interest rates.

Since credit is so individualized, the exact actions you take to improve your score will depend on your particular credit situation. In general, however, the most effective way to improve your credit score is to address each factor that goes into the calculation. The two main scoring models, FICO and VantageScore, both use the same factors, albeit with different weights, to calculate your score.

Your payment history is the most important factor in both models, and it counts for a full 35% of your FICO score. This factor looks at whether you pay your debts as agreed, and can be damaged by late payments, missed payments, and account defaults. Always make on-time payments to ensure you are scoring well in this category.

Another important aspect of your credit score is your total debt and utilization. This looks at how much total debt you have, how much each of your individual debts total, and what portion of your available credit you are using. You can do well here by only taking on necessary debt and keeping your card balances low.

Being stingy about opening new credit accounts will also help you with two other scoring factors, namely your average account age and your new credit accounts. Old credit is the best kind of credit (so long as it’s in good standing), as it shows creditors that you can handle credit over the long term. And keeping the number of credit applications you make to a minimum will ensure you do well in the new account factor.

While the best way to avoid paying interest fees on your credit card balance is to pay it off entirely each statement cycle, sometimes reality dictates the need to carry that balance. In these cases, obtaining a lower credit card interest rate can give you the breathing room you need to pay down your debt — without struggling to also make giant interest payments.