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Using Balance Transfer Credit Cards to Consolidate Debt

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When you are in debt, it can start to get quite overwhelming if it is divided up between dozens of different sources. While you can’t always consolidate your debt without going to an outside source (and if you believe you are in serious debt, you should consult professional debt counseling of some sort before making an important decision on debt management), there are several ways that you can make paying off the debt a little easier. One option is through using balance transfer credit cards. If you have found a balance transfer card that allows you to transfer in a balance from other cards without any fee, then you can consolidate the debt from all of your cards into one source, allowing you to make one consolidated monthly payment. This also can help save you money in the form of interest if you consolidate your debt to a card that has a better rate.

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You can also help manage your debt in taking advantage of the bonuses that come along with a new credit account. For one thing, you are more likely to be able to get no balance transfer fees immediately after opening an account. Also, many credit accounts allow you to get a better APR for the first several months to a year after opening your account. While it is true that you need to keep in mind that these deals are in place to encourage you to open a new account, it doesn’t mean that you shouldn’t try to take advantage of these offers while you can.

With everything involving important financial decisions, such as debt management, you want to be cautious and think out everything before acting. While getting a balance transfer credit card is a good idea, you don’t want to rush out and get the first offer that you come across. The offers will differ based on your credit history, the amount of debt you have, and your level of income. They will also differ from company to company. The best decision that you can make is to take note of many different offers, list out the pros and cons of each offer, and choose the one that will work best for you in the long run, especially as it relates to debt consolidation and elimination.

The road to debt elimination is a long and winding one. However, every step that you can take in order to reach the end of the road is an important one. Choosing a balance transfer credit card to consolidate your debt can be a cost effective step to try in addition to other debt counseling or reduction planning options.