Many consumers wonder if it is possible to remove a negative balance on your credit card. In most cases, the answer is yes. There are ways to reduce interest charges, keep balances low, and in some cases even have the credit card company drop your rate and/or fees. Here is what you need to know.

my credit card

You can often have your credit card company to lower your interest rate by removing a negative balance. You should make a list of all the things that you currently pay on your credit card, including any late payments or finance charges. Then you should search for the smallest payment (that is, the one with the lowest balance) to see if there is a way to lower this balance. For example, if you have three monthly payments of $100 each, but the payment is only for two months, you can eliminate the third month’s payment. Often you can also get a longer grace period to pay back your debt without incurring a late fee. You can then explore cards that offer longer zero percent introductory rates.

Another option available to you is to transfer the balance to another low or no rate card. If your credit score is average to poor, the card issuer may be unwilling to lower your interest rate. However, many card issuers do have special offers available to people with low credit scores. If your current credit card issuer does not currently offer a zero percent introductory rate, you may be able to transfer your balance to a card that does. In many cases, the remaining balance on the old credit card will also be dropped, but the new interest rate will probably be higher.

You can also use your savings to reduce your current balance. In many cases, your interest rate and statement balance will not drop very much. For those people, they can easily transfer their high interest credit card balance to a lower interest rate credit card. If your savings account is at a good enough level, you could end up with a substantial monthly cash balance reduction. If you are concerned about how your potential savings will be used, talk to the card issuer to see if there are any other options available to you.

Those who are unable to make larger balance transfers may still benefit from smaller interest rate credit cards. You should look for offers that offer a low or zero percent introductory rate on balances transferred. This will help you to have a higher monthly payment and keep your payments within your affordable range. You will also continue to have an outstanding balance even after your new interest rate credit cards are no longer in effect.

In addition to reducing your current balance, you can also explore cards that offer cash back or bonus incentives. Some companies offer cash rebates as a way to attract new customers. If you transfer your high interest credit card balances to a card that offers a higher rebate, you can reduce your payments and save money in the long term. You can also take advantage of promotional offers to pay off your debt faster. Combining these two strategies can help you quickly eliminate your debt and start enjoying the rewards that you deserve.

A few things that you can do to maintain your credit card payments while you are working toward becoming debt free include paying my credit card statements early. By paying my credit card statements in full each month you avoid incurring late charges and negative balance fees. You will also avoid any late payment fees as well as over the limit fees. If you find yourself falling behind, you should call the card issuer to make arrangements. You may not be able to get out of this situation, but at least you will be paying your bills on time and keep a nice checkbook balance.

Finally, you can lower your credit limits and fees when you know you will be able to pay them in full. For example, if you know that your salary will not be sufficient to cover your debts you can ask the card issuer to decrease your minimum payment. You should never ask for a credit limit increase before you are sure you can repay the new amount. Credit issuers will do everything they can to prevent an increase in your credit limit. This means that they may increase your limit at the last minute and charge you an exorbitant fee for it!