credit score gov

Will the credit card interest rate increases happening negatively effect my credit score?

The increase in my credit card interest rates are not due to anything on my part, but will it make my credit score go down? I know it used to be that if you defaulted, failed to make a payment, were late, or went over the limit they would report it to the credit agencies and your credit would go down. But this time they are all going up, to no fault of mine. (Thanks Gov!!) Any ideas?

The interest rate itself is not a factor in your credit score. But, the effects of the interest rate hike could hit your score.

If the increased rates make you miss payments, or cause your balances to get closer to (or over) your credit limits, then it would have a negative impact. The negative impact is the same whether its from increased interest rates or from you just not paying your bill.

If you stay current and keep the balances low, it won’t affect your credit.