Second, the best balance transfer credit cards help you repay debt faster because they provide some breathing room
from high interest credit card debt.
And the ugly debt is when you're
using high interest credit cards for daily expenses, things like utilities or groceries with no ability to pay those balances on a monthly basis.
Instead of saving for college, you may want to focus on other financial goals like buying a home, saving for retirement, or paying off
high interest credit card bills.
In an economy where housing problems dominate the headlines,
high interest credit cards still remain one of the largest issues consumers face in their fight for financial health.
Some cards even offer the option to transfer balances
from high interest credit cards to enjoy a limited 0 % interest period to pay off the balance without incurring interest charges.
If you are satisfied with being told that paying
off high interest credit card debt is a good financial goal, then you probably don't need to read this article.
Debt, for instance, if used wisely can be a useful financial tool at times and should be differentiated from bad debt, such
as high interest credit cards.
In our previous blog post about using a mortgage as a bankruptcy alternative, we discussed using a mortgage to
repay high interest credit card an other debt.
Much like using a balance transfer credit card to
transfer high interest credit card debt to a card with a low introductory rate, you can use the same process to pay off student loans with a credit card.
If you only pay minimum payments
towards high interest credit card debt, well this could lead to you paying on the accounts for more than ten years and paying more than double what you owe after calculating the interest into the equation.
Many of the recently unemployed are happy to find that the unsecured unemployment loan is a great alternative to using
high interest credit cards for everyday living expenses, groceries, and monthly bills during times of unemployment.
Most people use them as a way to periodically place a bunch of
high interest credit card loans under a single new loan, with a lower interest rate, and a much lower monthly payment.
Right after I got out of debt and paid off my
last high interest credit card, I realized I needed to focus on trimming down my credit cards and only selecting those that give me perks.
If you've got
existing high interest credit card debt, car loans or any other personal (or business) loans, you've got the opportunity to consolidate up to $ 25,000 of this debt by shifting to cheaper loans.
Personal Signature Loans are an excellent compromise
between higher interest credit card debt and secured lending products such as a Real Estate Equity loan or Home Equity Line of Credit.
Borrowers who used a personal loan via Lending Club to consolidate debt or pay off
high interest credit cards report in a survey that the interest rate on their loan was an average of 24 % lower than they were paying on their outstanding debt or credit cards.
Balance transfer credit cards, which enable consumers to
shift high interest credit card debt to a lower interest credit card, are an excellent tool for anyone looking to cut costs as they pay off their debt.
The huge and growing amount of credit card debit results in millions of people paying billions of dollars
on high interest credit card bills, instead of saving and investing for a financially secure future.