Certain assumptions have been made around the repayments made.This calculator is neither a quote nor a pre-qualification for a credit card Overwhelmed with debt and unable to pay down your balance against a high interest rate?We may receive compensation when you visit our partners' sites or are approved for their products.You can read more about how we maintain editorial independence and how we make money here. A balance transfer credit card allows you to move your existing debt — other card balances, medical payments, student debt and even personal loans — to a new card with a lower rate, sometimes as low as 0%. A debt consolidation loan may help to combine debts into one manageable loan.If you are currently looking to clear debt and juggling payments to more than one lender you are not alone, but a debt consolidation loan could help.
During that introductory period, you can make serious headway in paying down your debt with the bonus of simplifying your many bills to just one.Our guide empowers you to determine if transferring your credit card balance is the right solution for your budget and needs.A balance transfer is the result of moving all or part of your existing debt to another card provider or lender, typically to save money on the overall interest you’d pay on that debt.However, you need to look at all of the relevant issues as loan consolidation may not be right or available for you.In the simplest terms, a debt consolidation loan will pay off your existing debts and transfer the monies owed into one loan with one manageable, monthly repayment.You’re typically required to pay a one-time fee to transfer your balance with these cards, often a percentage of the amount you’re transferring to the new card.These fees are often added to the amount you transfer to the new card, rather than paid as a separate fee. Still, a lower APR can result in significant savings. Failing to pay off your entire debt during the 0% intro period will leave you with the standard interest rate for your card.Today, many personal loans can be used to consolidate your debts.We know that everyone's situation is unique and we aim to help you find the right product for you.These loans should not be the first action to take against debt, especially if there are expenses and outgoings you can reduce or get rid of completely.It’s worth analysing your budget and looking at what you can afford to pay back on your current debts first.