How do I Work Out a Deal With Credit Card Companies to Get Out of Debt?

When you realize your credit card debt has gotten out of control, it is important to know that you can negotiate with credit card companies to have your interest rate reduced. According to The New York Times, it may even be possible to negotiate a reduction of the principal amount you owe on your credit cards. Be aware that for this option to work, your credit history should show that any current delinquency is a one-time occurrence with a reasonable explanation, and not a habitual malady.

Instructions

1

Line up each of your credit cards with the most recent corresponding credit card statement. Familiarize yourself with each card's present interest rate, as well as any late fees or other penalties you may have incurred.

2

Call the customer service phone number located on the back of each credit card. Ask directly for an interest rate reduction. Ask politely to speak to a supervisor if the customer service representative you speak with is unable or unwilling to give you the help you want.

3

Explain your situation calmly and politely, despite how uncomfortable the customer service representatives may make you. Do not lose your temper, but instead explain that you have been a loyal customer to the company for X number of years and do not want to be forced to consider the offers of much lower interest rates you have received from competing credit card companies.

4

Ask for a principal reduction if your account is more than 90 days delinquent and your credit delinquency is rare and attributable to a reasonable cause, such as a recent job loss or medical impairment barring you from work. Explain how and why this situation came about, and that you want to make things right with your creditors. Escalate the situation to higher level supervisors and managers if necessary.