What Is The Average Credit Card Interest Rate This Week? May 27, 2025

If you want to pay off your credit balance faster and for less, a lower interest rate could be your ticket. Here are some strategies to reduce your credit card APR.

Balance Transfer

Opening a new credit card with a low-rate or 0% intro APR balance transfer offer could help you pay down debt. These introductory rates often span 12 to 21 months, allowing you to pay down your balance with little to no interest accruing. With careful planning, you can significantly reduce or eliminate your debt during this period.

Forbes Advisor’s balance transfer calculator can help you estimate savings by factoring in fees and interest rates. Shop around and compare multiple offers to find the best fit for your situation. Qualifying for these offers typically requires good to excellent credit—the higher, the better.

Debt Consolidation Loan

A debt consolidation loan is a type of personal loan used to pay off existing balances, particularly on high-interest debt like credit cards. If approved, you’d make a single payment toward the new loan each month. This method can help accelerate and simplify the payoff process, as well as save you money. Personal loan rates tend to be lower, on average, than on credit cards.

In addition to cost savings, consolidating revolving debt like credit cards into an installment loan could lower your credit card utilization rate and improve your score. Factors like your credit profile and debt-to-income ratio will affect your eligibility for this type of loan.

Contact Your Credit Card Issuer

The APR outlined in the cardholder agreement isn’t always the be-all and end-all. You can request a rate reduction from your card issuer, referencing offers with lower interest rates from other providers to strengthen your case.

If you plan on negotiating, having a history of on-time payments and a good credit score may work in your favor. Many card issuers are willing to have a conversation, so it’s worth asking.