Finance Globe

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Use these Tips to Negotiate an Annual Fee

Use these Tips to Negotiate an Annual Fee

Are you thinking about canceling your credit card due to a high annual fee? Before you call your credit card company, keep one thing in mind: you may be able to negotiate.

Here are three tips to follow when negotiating an annual fee:

•    Show that you are a good customer. Credit card companies give the best perks to the best customers. If you use your card regularly, if you’ve been a customer for many years, you have a much better chance of receiving a “retention offer.?
•    Explain yourself. It’s your job to explain to the customer service representative why you deserve a break on your annual fee. Tell them that you like everything about your credit card. Tell them that you want to stay on board, but can’t pay the high cost of an annual fee. If you are clear and act with respect, you have a much greater chance of success.
•    Don’t give up. The first time you call your credit card company you may run into a wall. However, if you call back and try again, you could find another rep who is willing to work with you.

Final tip: don’t concern yourself with when your annual fee is due. Even if it’s a few months out, you should still feel comfortable contacting your credit card company to discuss your options.

These three simple tips can go a long way in helping you negotiate an annual fee. Maybe your credit card company will get rid of your fee entirely. Or maybe they will give you a discount for the upcoming year. Regardless, you owe it to yourself to reach out and see if you’re eligible for a price break. If all else fails, and if you think that you qualify, apply for a credit card with no annual fee.

Do you have any other tips to add? Have you successfully negotiated an annual fee in the past?

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Comments 1

Frank on Thursday, 29 September 2016 11:25

This is another area I have never had success in. They never really negotiate with me on the annual fee. The only thing they have ever done is say they can transfer the card to another type so I don't have to pay a fee, but the rewards stink. I would be curious if anyone has had success in this.

This is another area I have never had success in. They never really negotiate with me on the annual fee. The only thing they have ever done is say they can transfer the card to another type so I don't have to pay a fee, but the rewards stink. I would be curious if anyone has had success in this.
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Monday, 14 October 2019

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