Thursday 22 January 2015

Three essential ways to consolidate debts

It is not uncommon for people to fall into the debt trap. Unmanageable debt can put one in an embarrassing situation. Figures reveal that Australia’s borrowing is at an all time high as compared to the last five years. People are desperately on the lookout for debt consolidation help. Debt negotiators in Australia provide expert assistance to overcome credit problems.

Debt consolidation loans

Debt Negotiators can help in any desperate financial difficulty. This includes unmanageable debt, loan repayments, bad credit history, mortgage credit card debts in Australia and others. They provide different options to consolidate debts. One of the most common is debt consolidation loans. These loans considerably help to reduce monthly repayments.

Home equity loans
Home equity loans allow the debtor to take a debt consolidation loan against the value of his home. Most of these loans have fixed terms and conditions. Their interest rates and amounts are all fixed. There is a substantial decrease in the interest rates.

Credit card balance transfers
Another way of consolidating debt is by using credit card balance transfers. This consolidates all the debts onto a low or no interest credit card. Once a balance transfer is initiated, a transfer fee has to be paid. For a certain period of time after this, no interest accumulates on the balance amount that has to be paid.
However once the balance transfer period ends, the interest on the card reverts back to the original amount. Therefore one has to have a good financial balance during this period to avoid getting to a new debt after the balance transfer period ends.

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