Credit Card Debt Consolidation

Credit card debt is a treacherous trap! Whether it comes on in a flash of lightening or creeps up like a long winter snowstorm, the havoc it wreaks can feel like a tornado has ripped through your life.

The worst part is, the pain you feel as if you are forever stuck in oblivion without any other options of being able to pay and get out of it. Living a life to get collection calls from agencies.

It is a hellish feeling, I should know; been there done that. But I’ve just been quite lucky to make it to the other side. But not without a great deal of anxiety and sleepless nights. Let me tell you few things to remember if you are going through the same situation:

Always note that you have options. You have a choice on how to handle your credit card debt. Credit card debt does not have to be a financial death sentence.

Asking what options? There’s a lot! But let’s focus on the one that can help you lower your interest rates and shorten your repayment period: debt consolidation.

With the proper way of doing it, debt consolidation can be the key to taking control of your credit card debt. Done without a plan, debt consolidation can, unfortunately, lad to a more disastrous situation. That’s why it is important to choose your options and carefully plan as you go along.

The idea of credit card debt consolidation is simple. Basically, you obtain a new loan or line of credit to pay off one or more credit cards. This will give you the leeway to pay only one monthly payment instead of multiple amounts with higher interest rates.

There are things that you need to watch out for, though, when consolidating your credit card debts. One of the biggest problems with credit card debt consolidation is that it doesn’t always require you to enter into a repayment plan. If you consolidate with a line of credit, such as a balance transfer credit card, then there’s no reason you can’t continue making the minimum payments every month. Don’t do that! Those minimum payments won’t get you anywhere. Credit card minimum payments are designed to keep you in debt as long as possible – even balance transfer credit cards. If you obtain a balance transfer credit card, it’s up to you to create a payoff plan. If you don’t you could end up in a cycle of balance transfer credit card churning.

Successfully paying off debt is all about strategy. Employ the strategy that works for you and always bear in mind – you have the power and the control to decide how you want to pay off your debt!

Author: Michael Welter

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