When considering various methods for reducing your credit card bills it is essential to avoid the many unsecured debt errors at all cost
. Essentially the most popular and most harmful options for only increasing the entire size of your credit card bills are to use the total amount transfer trap. Just what's this trap and why is it so harmful to your debt plan?
We'll discuss those extremely important causes of side-stepping, by any means, the pie-in-the-sky balance transfer trap that a lot of credit cards of limited ethics and morals contained in a wide variety of marketing tactics.
Marketing Provides Are plentiful
It generally starts along getting a deal in the mail or nowadays through any e-mail spamming marketing program that serve a minimal balance transfer introductory offer. The advertisement retreats into saying 'why not transfer all your existing unsecured debt from a credit card or two or even all of them that have a not-so-handsome interest rate and slide it on over to our card with a lower introductory only rate of interest?' Please recall the key term here introductory as this is actually the bait and switch that balance transfer traps are so well-known for.
Can Increase Afterwards
The problem with transferring your existing credit card balances to a new card along with a lower rate of interest is at this rate probably rises to at the least equal and several times above your overall interest rate(s) and puts you in a more painful position than ever. To destroy it down more simply this unsecured debt error is one of the most widely used and for reasons which make most financial experts scratch their head in disbelief.
Short-term Rates Long-term Nightmare
There are lots of stories of individuals using a moderate debt problem with cards in the quantity of $25-$50,000 and after they transferred those balances to the new credit card with the lower opening fee 19 months later they were considering a debt load of $85-$100,000.