Consolidating your credit card debt is one of the most efficient ways to pay back and ultimately eliminate your credit card debt. Credit consolidation works by gathering all your existing credit card debt and transferring it all into one card so you will only need to pay one credit agency instead of splitting your payments between many.
Consolidating your credit card debt also allows you to pay one interest rate on a fixed amount rather than multiple interest rates on different amounts.
When you consolidate your credit card debt, you will often be able to find a lender that can waive the balance transfer fees and offer six months or more of no interest on your balance. This can really help individuals get back on their feet and not have to worry about their credit card debt accumulating interest, at least for a few months. This way, debtors are able to start building up their finances to start paying their consolidated debt.
In order to consolidate your credit card debt, there are a few things you need to do. First, you will need to find a lender or credit card agency that is willing to take on your combined debt.
If you have a good credit score, it will usually be easy to apply to a credit card with no balance transfer fees, like the Citi Diamond Card, that will allow you to consolidate all of your debt in one place and waive interest for the first year or more.
If you do not have a good credit score, you will need to apply to more specialized debt consolidation or debt relief programs. These programs exist in a majority of loan agencies and you will need to apply in order to be considered for them.
Before choosing a debt relief program or accepting any loan conditions, be sure to review the terms and conditions set by the lender in order to not fall even further into debt.