Can a credit card company increase the interest rate without notifying you about it?
Most credit card issuers only have to send you 15 days notice before increasing your interest rate. But usually not all of them do that. Following are some ways how you can respond to the credit card interest rate increase: 1. Opt-out of the higher rate: When your interest rate increases, you’ll typically have an opt-out period allowing you to reject the interest rate change. If you opt-out, your account will be closed and you can continue to pay your balance at the lower interest rate. Once the balance has been completely repaid, you won’t be able to use the card, since the account has been closed. 2. Negotiate a lower rate 3. Pay off the balance pronto: Pay off as much of the balance as you can before the increase goes into effect. 4. Transfer to a lower rate card: Transfer the balance to a lower interest rate credit card. Before you do the balance transfer, make sure you have enough available credit to handle the new balance. 5.
