It is true that a very simple phone call can save you thousands of dollars in your interest costs. If you do not make the call, credit card and mortgage lenders will not bring down your interest rates of their own accord. In the case of cheap financing, the squeaky wheel will get the grease. In a 2002 national survey from U.S. Public Interest Research Group fifty customers with varied credit backgrounds called credit card and mortgage companies and requested lower rates. In this study, over half scored lower rates - a whopping 56%. Rates were seen to drop on average from 16% to 10.47. Customers reported being very impressed that their credit cards and mortgages rates were sliced by one third simply through one phone call. It simply flows with the - it doesn't hurt to ask philosophy. If you don't ask, you DEFINITELY won't get it. Unless you make the first move and try to find out, you just never know what could happen.

So why don't more people do this? It is simple, it just doesn't occur to us. We are given a rate, we sign to it, and we make the assumption that this will remain unchanged. But it costs credit card companies and mortgage lenders several hundred dollars in advertising and marketing to acquire one new customer. Today with online vendors offering the same service, competition is tough and if you are a good customer, the lender is going to work hard to keep you. Further, the lenders can afford to cut you a break, and they will certainly make you better offers if they see you as a potential customer. And this is precisely the approach you need to take when you make that call. "Hi this is so and so calling. In the mail today I've gotten about 4 different offers to reduce my mortgage rate or Visa interest rate. I am eager to procure a reduced interest rate. What can you do for me so that I won't have to switch to another company?"

You do not need to be aggressive or confrontational. You just need to ask, and always remember that you can catch more flies with honey than with vinegar. And follow the adage, if at first you don't succeed, try, and try again. You may get someone more cooperative on the phone next time. You may be redirected to the "customers threatening to switch" department. If you don't try to find out, you never will. If you are struggling with high interest rates, you have the power to at least try to do something about it. Do all you can to increase your savings and minimize your expenses