800+ Credit Score and getting approvals, but how do I get better interest rates?

[DaWhole9]

I started a few years ago with about a 600 credit score.  I have upped it 200+ points in the last 28 months.  Now that I am in the 800s and all derogetory credit has been removed or fallen off, how do I get better interest rates? I started with Cap 1, Ollo and Credit One as rebuilders.  All those cards are %25-29 interest rate.  I pay all my cards off monthly so I dont have to pay that interest.  I dont carry balances.  I have since gotten a Apple Card at %14, SoFi Card at %17 and Amex Blue Cash Preferred at %24.  I got a discover preapproval at %24, when a few months ago it was %14.  I got a BlockFI preapproval at %24.  So I am thinking...hard pulls seem to be raising the interest rate...correct?  What can I do to get better interest rates?  I went from never getting approved to getting apoproved for whatever I apply for...now its about how to get the best terms so if I want to carrp balances, I pay the least amount of interest.    

[SDMarik]

---

@DaWhole9 wrote:

I started a few years ago with about a 600 credit score.  I have upped it 200+ points in the last 28 months.  Now that I am in the 800s and all derogetory credit has been removed or fallen off, how do I get better interest rates? I started with Cap 1, Ollo and Credit One as rebuilders.  All those cards are %25-29 interest rate.  I pay all my cards off monthly so I dont have to pay that interest.  I dont carry balances.  I have since gotten a Apple Card at %14, SoFi Card at %17 and Amex Blue Cash Preferred at %24.  I got a discover preapproval at %24, when a few months ago it was %14.  I got a BlockFI preapproval at %24.  So I am thinking...hard pulls seem to be raising the interest rate...correct?  What can I do to get better interest rates?  I went from never getting approved to getting apoproved for whatever I apply for...now its about how to get the best terms so if I want to carrp balances, I pay the least amount of interest.    

---

Have you tried reaching out to the current issuers that you have been solid with for a few years and asking for a lower rate on some of those cards? It probably wont happen more than it does, but it doesn't hurt to try and it doesn't cost anything.

It isn't likely that a few inquires are causing issuers to give you higher interest.

Keep in mind, it isn't only how good of a borrower you are on paper that determines what the issuer charges for interest. There are broader things in play as well, such as economic outlook and things like how much debt exposure the company currently has. If they feel that lending in general is going to be more risky in the near future, then all new approvals will likely have a higher interest rate.

That discover interest bump is a good example, look what has been going on in the world of the past few months. There is a lot of finanical uncertaintly both domestically and abroad, there is a good chance discover is trying to hedge against future risk.

Sorry for the rant, hope it helps!

[DaWhole9]

Thanks!!   Thats very helpful and explains alot.  Yes I have asked for a lowered interest rate on my existing cards and its been declined.  

[dragontears]

---

@DaWhole9 wrote:

I started a few years ago with about a 600 credit score.  I have upped it 200+ points in the last 28 months.  Now that I am in the 800s and all derogetory credit has been removed or fallen off, how do I get better interest rates? I started with Cap 1, Ollo and Credit One as rebuilders.  All those cards are %25-29 interest rate.  I pay all my cards off monthly so I dont have to pay that interest.  I dont carry balances.  I have since gotten a Apple Card at %14, SoFi Card at %17 and Amex Blue Cash Preferred at %24.  I got a discover preapproval at %24, when a few months ago it was %14.  I got a BlockFI preapproval at %24.  So I am thinking...hard pulls seem to be raising the interest rate...correct?  What can I do to get better interest rates?  I went from never getting approved to getting apoproved for whatever I apply for...now its about how to get the best terms so if I want to carrp balances, I pay the least amount of interest.    

---

To get the best rates you need to provide the lowest risk. Credit seeking is a credit risk in most lender's eyes even when your scores are 800. If preapprovals with the lowest rates are important, garden until you start seeing it.

[805orbust]

And for goodness sake PLEASE tell me you've closed that Credit One card!  🙂  Don't make me rant here on your nice, civil thread.

[Gollum]

---

@DaWhole9 wrote:

I started a few years ago with about a 600 credit score.  I have upped it 200+ points in the last 28 months.  Now that I am in the 800s and all derogetory credit has been removed or fallen off, how do I get better interest rates? I started with Cap 1, Ollo and Credit One as rebuilders.  All those cards are %25-29 interest rate.  I pay all my cards off monthly so I dont have to pay that interest.  I dont carry balances.  I have since gotten a Apple Card at %14, SoFi Card at %17 and Amex Blue Cash Preferred at %24.  I got a discover preapproval at %24, when a few months ago it was %14.  I got a BlockFI preapproval at %24.  So I am thinking...hard pulls seem to be raising the interest rate...correct?  What can I do to get better interest rates?  I went from never getting approved to getting apoproved for whatever I apply for...now its about how to get the best terms so if I want to carrp balances, I pay the least amount of interest.    

---

Interest rates are going up because of 40 year record rates of inflation. There is probably nothing you can do to avoid higher interest rates.