MINNEAPOLIS -- Norwest Corp. said its credit card unit will lower interest rates on June 1 for cardholders with good payment records.
Annual rates of qualifying MasterCard and Classic Visa customers will be cut to the prime rate plus 9 percentage points, or 15.5% initially. Gold card customers will pay 7.4 points over the prime, or 13.9%.
The new rates can change quarterly. The previous rate was fixed, at 19.8%.
Norwest Card Services, which has more than two million cardholders, said 1.4 million are eligible for the new pricing and 70% of that number qualify initially.