disqus recent comments not updating - Pros and cons about consolidating credit cards

Sometimes, the loans are unsecured, which means you don't have to put up collateral, like a house or car.

The rate you pay is based on your credit history and credit score.

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Along with traditional banks and credit unions, you also can find personal loans at online banks, such as Discover; online nonbank lenders, such as So Fi; and peer-to-peer lenders, such as Lending Club.

You don't have to accept the first offer you get for a personal loan. Here, Bankrate offers some of the pros and cons for those considering taking out a personal loan.

Even though I hadn’t been missing payments, the high balances on my credit cards drove my credit score down and meant that banks wouldn’t approve me for new credit cards.

And, because I wasn’t behind on payments, debt counseling agencies wouldn’t have been much help either. Prosper isn’t a bank, they’re a peer-to-peer lending platform.

If you’re approved, your new credit card company will pay off the balance for you and move that balance to the new 0 percent card.

You won’t always get a high enough credit limit on the new card to transfer all your debt, says Rob Berger, founder of the personal finance site Dough Roller.

If you’re overwhelmed by debt and juggling payments to a slew of creditors, consolidating your debts can offer some relief, as well as help you pay off what you owe more quickly.

Debt consolidation involves taking two or more outstanding balances and rolling them into one, ideally at a better interest rate. If all your debt is on credit cards, you have good credit and you think you can pay off your debt within a year or so, a credit card balance transfer might be your best consolidation option.

In that case, you might have to apply for another balance transfer deal, he says. “You’ve got more credit cards to manage and more monthly bills to pay.” Pros: A 0-percent balance transfer deal means that, aside from the initial fee, 100 percent of your payment goes toward the principal.

You can pay down debt more quickly since interest fees aren’t ratcheting up the balance.

Personal loans have become a fast-growing financing option for consumers, and demand continues to rise.

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