Credit cards can be expensive between interest and various fees. Some banks charge an annual fee, and virtually all of them impose fees for certain incidents like spending more than your credit limit or sending a payment late. You can often reduce credit card fees by learning how to avoid them and negotiating with your bank if you do happen to incur one. This may save you a significant amount of money.
Step 1
Read through the terms and conditions of your credit card accounts and make a note of the circumstances under which you can incur a fee. Avoid any action that could cost you money. For example, set up an electronic payment or mail your check at least a week before the payment due date if your bank imposes late payment fees. Keep close track of your credit limit to you don't exceed it if there is an over-the-limit fee in your contract.
Step 2
Ask your credit card company to waive your annual fee if you have a card on which one is typically charged. Many banks will waive the fee for good customers, but you must ask them to do it and you must usually repeat your request every year.
Step 3
Ask your credit card company to waive penalty fees if you accidentally incur one. You may try very hard to pay on time and to stay under your limit, but mistakes do happen. Banks will sometimes credit back the fee if you request it and are a longtime customer with a positive past history. They will not do this automatically. You must call and request a waiver. According to Bill Hardekopf of lowcards.com, many banks will forgive such fees once a year for good customers.
Step 4
Request a waiver of the balance transfer fee if you are transferring a significant sum onto the credit card. Elizabeth Ody, an editor at Kiplinger.com, explains many banks charge a percentage of the transfer amount or flat fee when you do a balance transfer. They may drop the charge upon request because it is to their benefit to have a higher balance on your account. They will make money in interest charges until it is paid off.
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