Your credit card company might actually pay you to keep your card.

When the annual fee hits, call the number on the back and say you’re thinking about canceling. The phone system will usually send you to the retention department, which is exactly what it sounds like. Their job is to convince you to stay.

Say something simple:

“Hi, I’m calling about the annual fee. I’m not sure I can justify keeping the card this year. It’s gotten very expensive.”

And then stop talking.

Depending on the card and your spending history, they may offer bonus points, a statement credit, or a reduced annual fee. Offers can range from 10,000 to 50,000 points or roughly $50 to $250 back.

Before calling, check Doctor of Credit to see what other people have recently been offered on the same card. Amex, Chase, and Capital One tend to have the best retention offers.

A few important rules: Don’t lie, invent competitor offers, or threaten to cancel unless you are actually prepared to do it. Banks keep track, and repeatedly abusing retention offers can get your account flagged.

This is most worthwhile on premium cards with annual fees of $400 or more. For a low-fee card, it may not be worth the call.

The annual fee is not always as final as it looks. Sometimes all you have to do is ask.

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