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Credit card interest rates are surging: How to lower yours now

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Credit card interest charges can add up quickly at today’s high rates.

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There’s no question that credit cards can make it easy to pay for purchases over time, whether for an unexpected expense or an impulsive buy. However, carrying a balance on your credit card has become an increasingly expensive choice. Credit card interest rates are among the highest available for any borrowing option and the compounding nature of credit card interest makes it even more costly over time. 

Today, card interest rates are higher than ever, with the average credit card interest rate now sitting at 23.37%, according to the Federal Reserve — a considerable increase from just a few years ago. For example, in August 2022, the average credit card rate was 18.43%, while in August 2020, it was 16.43%. This means that if you’re using credit cards to finance purchases right now, you’re paying significantly more in interest than you would have been just a few years ago. 

And while Fed rate cuts, such as the one issued in September, typically help to lower the rates on many types of consumer borrowing, like mortgages and personal loans, they generally have little impact on credit card interest rates. So while there are expectations that the Fed will slash its benchmark rate again in November, it’s unlikely that this rate cut, or any other upcoming rate adjustments, will offer meaningful relief. However, there are still several ways you can try to lower your credit card interest rates now. 

Start tackling your high-rate credit card debt today.

How to lower your credit card interest rates now

There are a few ways to try and lower your credit card rates to save money on interest, including:

Negotiating with your card issuer

One straightforward way to reduce your credit card interest rate is to ask your card issuer for a lower rate. Many credit card companies are open to negotiating with long-standing customers, especially those with a history of on-time payments, so a well-prepared conversation with a customer service representative may result in a lower rate, allowing you to save on interest over time. 

When contacting your card issuer, it can help to be prepared with information about your payment history, account tenure and current credit score to support your request. If you’ve received competitive offers from other card issuers, make sure to also mention them during your call to see if your current issuer can match or beat those offers. 

Take advantage of your credit card debt relief options now.

Taking advantage of what a debt management program offers

A debt management program is another potentially effective way to secure a lower interest rate on your credit card debt. When you enroll in a debt management program, a financial expert will negotiate with your creditors to reduce interest rates and potentially waive certain fees. That’s the objective of this type of program, after all: To make your debt more manageable by lowering your monthly payments and overall interest charges.

It’s important to note, however, that program participation typically requires you to close your credit card accounts, which may temporarily impact your credit score. These programs also frequently come with enrollment fees, so consider the associated costs and benefits carefully. 

Exploring your credit card hardship program options

Credit card hardship programs are short-term relief options offered by many credit card companies for borrowers who are facing financial difficulties. If you’re trying to lower your credit card interest rate due to a job loss, medical expenses or other significant financial challenges, enrolling in a hardship program may help. Doing so can also reduce or waive card fees and secure a lower minimum payment.

However, the terms of these programs also vary by issuer, so it’s a good idea to contact your card provider, explain your circumstances and inquire about the options available. If you find you qualify, the short-term reduction in interest can offer meaningful relief.

Utilizing other debt relief strategies

If you’re looking to lower the cost of your credit card debt, you can also consider transferring your balances to a new card with a lower rate or consolidating your debts with a debt consolidation loan. Both options can reduce the overall rate you pay on your credit card debt.

For example, many balance transfer cards come with introductory 0% APR periods that last between 12 and 21 months. By moving your high-interest debt to a balance transfer card, you can avoid paying interest temporarily. A debt consolidation loan, on the other hand, allows you to combine multiple high-interest debts into a single loan with a lower fixed interest rate, which can make repayment more manageable. 

The bottom line

With credit card interest rates at record highs, reducing them can feel challenging but is well worth the effort. Starting with a simple call to your card issuer may yield surprising results, while balance transfers, debt consolidation loans and other forms of debt relief can offer additional pathways to financial relief. A credit card hardship program or debt management program may also provide much-needed assistance if you’re struggling with temporary financial hardship. No matter which approach you choose, by taking steps now to reduce your interest rate, you can put yourself on better financial footing.



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Latest news on China’s efforts to hack Trump, Vance and Harris campaign

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Latest news on China’s efforts to hack Trump, Vance and Harris campaign – CBS News


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Federal officials say China-backed cybercriminals may be behind efforts to hack phones or networks used by former President Donald Trump and running mate JD Vance. The hackers may have also targeted Vice President Kamala Harris’ campaign. CBS News’ Nicole Sgana reports.

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Jamshid Sharmahd, Iranian-German prisoner who lived in California, executed in Iran over disputed terror charges

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Iranian-German prisoner Jamshid Sharmahd, who was kidnapped in Dubai in 2020 by Iranian security forces, has been executed in Iran after being convicted on terror charges disputed by his family, the country’s judiciary reported Monday.

Sharmahd, 69, was one of several Iranian dissidents abroad in recent years either tricked or kidnapped back to Iran as Tehran began lashing out after the collapse of its 2015 nuclear deal with world powers.

Sharmahd’s execution comes just two days after Israel launched a retaliatory strike against Iran amid the ongoing Mideast wars. While not directly linking his execution to the attack, the judiciary accused him of being “under orders from masters in Western intelligence agencies, the United States and the child-killing Zionist regime” when allegedly carrying out attacks in Iran.

The judiciary’s Mizan news agency reported his execution took place Monday morning, without offering details. Iran, one of the world’s top executioners, typically hangs condemned prisoners at sunrise.

Iran accused Sharmahd, who lived in Glendora, California, for two decades, of planning a 2008 attack on a mosque that killed 14 people and wounded over 200 others, as well as plotting other assaults through the Kingdom Assembly of Iran opposition group and its Tondar militant wing.

gettyimages-1252480110.jpg
Signs showing Jamshid Shamahd, an Iranian german journalist, who was sentenced to death, are seen during traditional Labor day demo which is organized by the Geran Federation of Trade Unions (DGB) at Deutsches Eck, with German chancellor Olaf Scholz attending this year in Koblenz, Germany on May 1, 2023.

Photo by Ying Tang/NurPhoto via Getty Images


Iran also accused Sharmahd of “disclosing classified information” on missile sites of Iran’s paramilitary Revolutionary Guard during a television program in 2017.

“Without a doubt, the divine promise regarding the supporters of terrorism will be fulfilled, and this is a definite promise,” the judiciary said in announcing his execution.

Sharmahd’s family disputed the allegations and had worked for years to see him freed. They could not be immediately reached for comment.

Germany expelled two Iranian diplomats in 2023 over Sharmahd’s death sentence. The U.S. State Department has referred to Iran’s treatment of Sharmahd as “reprehensible” and described him facing a “sham trial.”

The German government and the U.S. State Department did not immediately respond to a request for comment Monday.

Amnesty International said the proceedings against Sharmahd had been a “grossly unfair trial” because he had been denied access to an independent lawyer and “the right to defend himself.”

“The government-appointed lawyer said that without payment of $250,000 from the family, he would not defend Jamshid Sharmahd in court and would only ‘sit there,'” Amnesty said in one report on his case.

However, Amnesty noted that Sharmahd ran a website for the Kingdom Assembly of Iran and its Tondar militant wing that included claims of “responsibility for explosions inside Iran,” though he repeatedly denied being involved in the attacks.

Sharmahd had been in Dubai in 2020 while on his way to India for a business deal involving his software company. He was hoping to get a connecting flight despite the ongoing coronavirus pandemic disrupting global travel at the time.

Sharmahd’s family received the last message from him on July 28, 2020. It’s unclear how the abduction happened. But tracking data showed Sharmahd’s mobile phone traveled south from Dubai to the city of Al Ain on July 29, crossing the border into Oman. On July 30, tracking data showed the mobile phone traveled to the Omani port city of Sohar, where the signal stopped.

Two days later, Iran announced it had captured Sharmahd in a “complex operation.” The Intelligence Ministry published a photograph of him blindfolded.

His daughter, Gazelle Sharmahd, saw her father appear on Iranian TV in a courtroom, looking petrified.

“He’s forced to confessions about crimes he did not commit,” Gazelle Sharmahd told “60 Minutes” recently. “The charge that they gave him is corruption on Earth. That’s why he got the death sentence.”

Iran
Iranian-German national and U.S. resident Jamshid Sharmahd attends his trial at the Revolutionary Court, in Tehran, Iran, Sunday, Feb. 6, 2022. 

Koosha Mahshid Falahi / AP


Iran carries out the highest number of executions annually after China, according to rights groups, including Amnesty International. The number of executions in 2023 was the highest recorded since 2015 and marked a 48% increase from 2022, and a 172% increase from 2021, Amnesty said.

According to Human Rights Watch, Iran executed at least 87 people in August, including 29 in one day.



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Can Puerto Rico vote in U.S. presidential elections? What to know amid backlash from Trump rally comment

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Washington — Voters in Puerto Rico who are angered by an offensive remark about the island at former President Donald Trump’s campaign rally at Madison Square Garden in New York on Sunday have little recourse because residents of the territory cannot vote in the presidential election. 

But there are millions of Puerto Ricans living in one of the 50 states who are eligible to vote. According to the Pew Research Center, Puerto Ricans make up the second-largest Hispanic voting group, with nearly 6 million voters living in the mainland U.S. as of 2021. Pennsylvania in particular has a sizable Puerto Rican population whose votes could make a difference in the battleground state. 

Days before Election Day, Trump’s campaign is trying to distance itself from comedian Tony Hinchcliffe who made several racist and crude insults toward minorities at the rally, including calling Puerto Rico a “floating island of garbage.” 

Can Puerto Ricans vote in U.S. presidential elections?

There are 3.4 million residents living on the island of Puerto Rico, according to the 2020 Census. Those residents of Puerto Rico are not permitted to vote in presidential elections, though they’re U.S. citizens and can participate in the Republican and Democratic presidential primaries. 

Puerto Ricans can vote in federal elections if they live in one of the 50 states or Washington, D.C., and are registered to vote.

What did Tony Hinchcliffe say about Puerto Rico at the Trump rally?

Racist jokes made by comedian Tony Hinchcliffe, who goes by the stage name Kill Tony, overshadowed what was supposed to be Trump’s closing message. 

“I don’t know if you guys know this, but there’s literally a floating island of garbage in the middle of the ocean right now. I think it’s called Puerto Rico,” Hinchcliffe said. 

Trump’s campaign said Hinchcliffe’s jokes, which also included offensive jokes about Black people and Latinos, were not pre-approved or reviewed by the campaign. 

“This joke does not reflect the views of President Trump or the campaign,” senior adviser Danielle Alvarez said in a statement.

Why isn’t Puerto Rico a state? 

There’s been a yearslong debate over the status of Puerto Rico, which became a U.S. territory in 1898 after Spain ceded it to the U.S. following the Spanish-American War. 

Congress has been reluctant to give Puerto Rico statehood because of the potential economic costs, as well as concerns about how it would change the balance of power in Washington. 

If it became a state, two senators would be added to the Senate and it would receive proportional representation in the House. 

Puerto Rico has held a series of nonbonding votes on its relationship with the U.S., most recently in 2020 in which more than half of voters said the island should be granted statehood. 

What other U.S. territories are excluded from presidential elections?

Like Puerto Rico, residents of these U.S. territories cannot vote in presidential elections: American Samoa, Guam, the Northern Mariana Islands and the U.S. Virgin Islands. 

Except for residents of American Samoa, those born in the other four American territories are U.S. citizens and can vote in federal elections if they live in one of the 50 states or Washington, D.C. Residents of American Samoa, who are U.S. nationals, are not eligible to vote in federal elections even if they live in one of the states. 



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