 TITLE: What Can Increase Your Credit Card’s APR? CONTENT: Your credit card's APRs can change for a variety of reasons. Some of these are completely out of your control, but others depend on how you use your credit card or manage your account.\n*   **The prime rate changes.** Credit cards' variable APRs are the sum of two rates: a base benchmark rate—often the prime rate—and a second rate that depends on your creditworthiness. When the benchmark rate changes, your card's APR will rise or fall as well, and the new APR can apply to your existing balance.\n*   **A promotional period ends.** Credit cards may offer low- or no-interest promotions. For example, you might get a balance transfer credit card that gives new cardholders an introductory 0% APR on balance transfers for the first 15 months. (There are also intro offers for 0% APR on purchases, and 0% APR on both balance transfers and purchases.) The APR changes to the standard APR and applies to the remaining balance once the promotional period ends. Missing a payment could also lead to the early termination of a promotional rate.\n*   **The card issuer changes your rate.** Credit card companies monitor your creditworthiness and how you're using the credit card. After your first year with the card, the issuer can increase your rate 45 days after sending you a notice—which can appear on your monthly statement. The increased APR will only apply to new transactions that occur 14 or more days after the issuer sends you the notice.\n*   **You're 60 days or more past due.** Card issuers can also raise your interest rate once you're 60 or more days behind on a bill. The increased rate is also known as a penalty APR, and it can apply to existing balances and new transactions. Once you make six monthly payments on time, however, the card issuer must revert your account back to your standard APR.\nThere are also a few less-common situations when a credit card's APR can change. For example, your card's APR might be lowered as part of a hardship program. But, if you don't keep up with the terms of the arrangement, your rate could go back up.\nOr, you may receive a low APR while you're on active duty as part of the Servicemembers Civil Relief Act (SCRA). The APR on your credit card could increase if you're no longer eligible for SCRA benefits. END