While the summer months often bring the opportunity for some consumers to reflect on their financial position, there has been a topic which consumers have been exploring for months and, despite the fact that there is no specific season for financial repair and debt relief, the idea of debt consolidation transfers on various credit card balances has been an issue some consumers are exploring due to the fact that balance transfer credit cards may offer this opportunity at an affordable rate and lower overall costs. Consumers need to make sure that they are educated on this topic due to the fact that consolidation and using a balance transfer card is not going to be in everyone’s best financial interest, but for those who feel they may be a good candidate for this particular type of debt repayment assistance, there is work that must be done further still.
Currently, credit card rates on a variety of cards are staying relatively unchanged as the balance transfer cards are advertising average rates of around 13% to 16%, with some falling much higher than this average. The credit card that a consumer receives will depend on their financial position and, obviously, the rate that comes with this card will also be a personal aspect of debt consolidation through balance transfers, but this does not mean that consumers cannot comparison shop and look at different card options if they feel that this particular type of debt consolidation option is best.
Understandably, there are ways to pay off credit card debts that do not involve consolidation or balance transfer credit cards, so consumers are advised to not only explore different balance transfer credit card options but simple credit card debt relief plans that may allow them to avoid acquiring a new card or consolidating altogether. Yet, when it comes to balance transfer cards, consumers need to also weigh in on whether the rate they will pay, the terms of the card, and any fees that may arise from a balance transfer will drown out any benefits they feel they may gain from this particular form of credit card repayment.
As it has been stated before, balance transfer cards ideally work by allowing consumers to consolidate their debt onto one card and potentially receive a low interest rate for a set period during which a cardholder can erase their credit card debt at relatively little cost overall, particularly when a low interest rate or no interest is offered during this repayment timeframe. There are certain cards that will require that a certain amount charges be made during his introductory period before a low intro rate will stay in place, and this can be problematic for consumers who are attempting to pay down a large balance transfer from other credit cards.
After exploring balance transfer options and what specific cards will entail, consumers may indeed find that they are able to sign up for one of these cards, transfer credit card balances from other lines of credit, and promptly pay off what they owe at a minimal cost, but there will be some consumers who find that there are no cards which will be advantageous for their position and, as a result, alternative credit card repayment plans must be used so that a consumer will find the most cost efficient route for their situation.