JEMCreditCards.com

Credit cards are such an important piece of consumer financial stability. They provide the convenience at the register and confidence in slow seasons. Unfortunately, slow seasons last a little longer than expected some times. Many consumers find themselves trapped in a position where they feel as though their credit card debt is simply becoming too much for them to handle. It is at this point that many consumers make a debt relief decision. Which is best debt consolidation or debt settlement? Well for many people, the answer is neither. Although these programs do help to relieve debt, they also help to bring down credit scores. Knowing this, a great deal of people decide to choose neither.

But, what if I told you that there was an option for you that did not involve harming your credit? What if a debt relief option could not only reduce your interest rate in turn reducing your monthly payment, but would also provide beneficial credit affects. Although you probably think that this isn’t possible, it is! Balance transfer credit cards are the answer. Not only do low promotional interest rates give you what you need to get your bills back in order, using the balance transfer credit cards properly will lead to excellent credit scores and sustain them if they have already been obtained.

Using balance transfer credit cards as a debt relief option is quite simple to be honest. All you really have to do is compare balance transfer credit card offers to find out which would be best for your situation. Once you figure out which would be best, simply apply for the credit card of your choice. In 7 to 10 business days, you will receive your credit card in the mail. When you get it, call the customer service phone number on the back of the card and ask a representative to complete the transfers that you would like completed. Below are a few key tips to keep in mind when comparing and using balance transfer credit cards for the purpose of debt relief:

• Pay close attention to rates and fees: Rates and fees are of course the way that lenders make money by issuing credit cards. These can be found under the rates and fees section in the terms and conditions for the credit card that you are comparing. Always remember high interest rates mean more cost! Low interest rates are your best friend! Also be weary of fees like balance transfer and annual fees. Although just about every balance transfer credit card offer will have these fees, there are a few that really get you here. Make sure that you are aware of and agree to ALL FEES associated with your future credit card!

• Keep rewards in mind: Credit card rewards have come about as a result of incredible competition in the credit card industry. Each lender looking for new and exciting ways to get consumers to want to apply for their credit card has gave way to great rewards perks like free airfare and cash back! Because the price of the rewards are now calculated into the total cost of the credit card, it is important to use your rewards. Make sure that if there is a rewards program offered with the credit card that you are interested in that it is one that you will use.
• Use a trusted lender: It is way to often that I speak to someone who feels like they have been taken advantage of by their lender. For one reason or another, they feel as though they were treated unfairly. However, when I delve deeper into the story, it is very uncommon to hear that being treated in this way happened to a customer of a well known lender like Chase or Discover or American Express or Citi. The point I’m trying to get at here is that the well known lenders are that way because their years in the industry have taught them how to treat their consumers. Going with a trusted lender is always your best option.
• Try to pay more than your minimum payment: Minimum payments are just that, they are the minimum amount of money that the lender will accept as payment on a loan. With that said, minimum payments are actually a horrible thing to send. This is because, by sending more than the minimum payment, you are displaying financial strength and security. Also, remember, minimum payments are created to keep you in debt, by paying your credit card off faster, you will avoid a great deal of interest. Even a few dollars extra can go a long way in the long run!
• Make early payments: Try to always send in your payments early. This does a few things for you. First off, if you send a late payment, you will be kicked off of the promotional interest rate or even worse…placed on a default rate. Making early payments ensures you that you will not have to pay the maximum amount of money to borrow. Also, by making early payments, you will display to lenders and credit reporting agencies that you are financially stable enough to do so. This in turn will help your credit scores.