Credit Card Debt Consolidation
Credit card debt consolidation is a symbol of the 21st century as it exposes the massive credit usage of this generation. Credit card companies have made credit access exceedingly easy and they make advantage of those who cannot pay their balances in full each month. They are even so "generous" as to increase the credit limits for their "preferred" customers. When these preferred customers then try to reform their detrimental behavior by seeking a credit card debt consolidation, it is done with the most incredible juggling act - transferring balances to lower interest rate cards using their overextended credit history as collateral. Easy-to-use credit card checks have accelerated the use of credit lines via finance charges and cash advance fees they generate. Credit card debt consolidation has taken on an autonomous life as borrowers juggle debt from one card company to another seeking 0% interest rates for short term relief.
When the borrower finally wearies of the juggling act and decides to take a proactive stance toward credit card debt consolidation, it must be done with a definitive plan and with a decisive attitude. To assure absolute credit card debt consolidation, it must start with putting all the cards on the table - literally. Credit card debt consolidation must begin with a full awareness of the depth of the situation that most borrowers tend to ignore in fear. This information should then be disclosed to the creditors along with a detailed plan of how the borrower expects to eliminate the excess and assure that the credit card debt consolidation will result in a clean slate without a frenzied relapse. Explain the situation and ask for their help in making the plan work, which in turn will assure that their accounts receivable are covered and ultimately paid in full by their cooperation. Default in a credit card debt consolidation could end in a credit disaster not only for the borrower, but in loss of anticipated repayment for the creditor if the borrower ends up having to file for bankruptcy.
Once a company is found willing to accept the transfer of two or three other companies' balances, close those zeroed accounts, cut up the cards and never reopen them. Focus on paying every open account's monthly payment, even if the payments must be smaller than their demand. Credit card debt consolidation usually makes the combined balance more manageable especially if a lower interest rate is provided. But, if there are multiple other accounts involved that were not part of the credit card debt consolidation, it may take some time to get them all reduced to a manageable level. Don't panic during the time it takes to see the credit card debt consolidation do its ultimate job of eliminating the total debt burden. It took less time to build the debt, but with a steady pace, the time to destroy the debt will be completed.