Why would someone consider getting a low interest rate balance transfer credit card as an option when looking for online debt relief solutions - and what are these cards all about, anyway? Well, first of all, financial problems can happen to anyone - especially these days.
And, it can strike without warning.
There you are - sailing along just fine.
You have a good job, you own a home, and, if you are like a lot of people in today's world, you probably carry some type of debt - either in the form of credit cards, a house note, a car loan, or even all three.
But things can happen that turns it all upside down.
You could face a serious illness, or a divorce, resulting in a sudden loss of income, which causes your financial obligations to pile up.
You can get panicked, not knowing where to turn, especially if your credit isn't perfect to begin with.
So, those low finance rate bank balance transfer cards can seem like the ultimate way out of your dilemma.
But be careful, as these transfer "programs" can hide many pitfalls that can make a bad situation even worse! With that, here is a brief summary of what this "solution" can bring you in the way of traps, if you don't know how they operate: "Easy" balance transfer credit cards are those that offer new card holders a low, or even zero, interest rate when they transfer the balances on their existing cards to the new one.
And, at first this looks great! It appears that all you do is apply for this card, and once you receive it, hand over those financial burdens existing on your old cards to them - no hassle, no fuss! And, they let you know that not only are the old cards brought to a zero balance, but you now have only one manageable payment per month on everything - thanks to that introductory rate you're getting! And even better, your rate is set in stone for six months! However - it turns out that this credit card transfer "solution" can actually turn your past situation into a bigger problem for the future.
For one, not many people realize that those low - or "NO" - interest rates apply only to the debts they've transferred from other cards, and nothing else.
So, any other charges put on it are subject to the creditor's "normal" interest rates, and possibly other fees they weren't aware existed.
And, speaking of their standard interest rates and miscellaneous fees, consider this.
Many a person hadn't a clue that their introductory rate had even expired - until the day they opened up their latest statement, only to discover their minimum monthly payment had almost tripled! Another "trap" people face with a low rate card is the mindset that once their other cards have been brought down to zero by the transfers, it's OK to go ahead and "use them for a purchase or two".
What then often happens is their paid off cards are soon run up with new charges that they keep putting on them, a little at a time.
And, it goes without saying that the results from all the debit that's now compiling faster than ever, can be disastrous, to say the least.
So, unless you are a strict disciplinarian with your finances - which most people aren't - it may be wise to avoid this online debt relief "solution" altogether, and instead, talk to someone who can help you that has nothing to gain by misleading you.
And, it can strike without warning.
There you are - sailing along just fine.
You have a good job, you own a home, and, if you are like a lot of people in today's world, you probably carry some type of debt - either in the form of credit cards, a house note, a car loan, or even all three.
But things can happen that turns it all upside down.
You could face a serious illness, or a divorce, resulting in a sudden loss of income, which causes your financial obligations to pile up.
You can get panicked, not knowing where to turn, especially if your credit isn't perfect to begin with.
So, those low finance rate bank balance transfer cards can seem like the ultimate way out of your dilemma.
But be careful, as these transfer "programs" can hide many pitfalls that can make a bad situation even worse! With that, here is a brief summary of what this "solution" can bring you in the way of traps, if you don't know how they operate: "Easy" balance transfer credit cards are those that offer new card holders a low, or even zero, interest rate when they transfer the balances on their existing cards to the new one.
And, at first this looks great! It appears that all you do is apply for this card, and once you receive it, hand over those financial burdens existing on your old cards to them - no hassle, no fuss! And, they let you know that not only are the old cards brought to a zero balance, but you now have only one manageable payment per month on everything - thanks to that introductory rate you're getting! And even better, your rate is set in stone for six months! However - it turns out that this credit card transfer "solution" can actually turn your past situation into a bigger problem for the future.
For one, not many people realize that those low - or "NO" - interest rates apply only to the debts they've transferred from other cards, and nothing else.
So, any other charges put on it are subject to the creditor's "normal" interest rates, and possibly other fees they weren't aware existed.
And, speaking of their standard interest rates and miscellaneous fees, consider this.
Many a person hadn't a clue that their introductory rate had even expired - until the day they opened up their latest statement, only to discover their minimum monthly payment had almost tripled! Another "trap" people face with a low rate card is the mindset that once their other cards have been brought down to zero by the transfers, it's OK to go ahead and "use them for a purchase or two".
What then often happens is their paid off cards are soon run up with new charges that they keep putting on them, a little at a time.
And, it goes without saying that the results from all the debit that's now compiling faster than ever, can be disastrous, to say the least.
So, unless you are a strict disciplinarian with your finances - which most people aren't - it may be wise to avoid this online debt relief "solution" altogether, and instead, talk to someone who can help you that has nothing to gain by misleading you.