Consolidating credit card debt affect on credit rating

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To use this solution, you take out an unsecured personal loan (a loan without collateral).You use the money you receive from the loan to pay off your credit cards and other debts.With most solutions, you can consolidate other types of unsecured debt.This includes: The first part makes it easier to manage debt in your budget. And depending on which consolidation option you choose, you may even have fixed monthly payments.

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Fees generally range from to 3% of each balance transferred.If you have a good credit score, these cards offer 0% APR promotion periods when you first open the account.Promotion periods range from 6-24 months, depending on your score.As a result, your payments increase significantly after 10 years.Be aware that borrowing against your equity to pay off credit card debt is the highest risk option!

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