Sarah Rathner

speaker
124 appearances 2 recordings 1 series first heard Dec 2022 last heard Feb 2023

Sarah Rathner’s voice in public audio — every appearance, attributed to the second.

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That's typically for consumers who have good or excellent credit.
It allows you to move your debt onto a card that charges 0% interest for a promotional period of time.
Sometimes these timeframes can be quite long, a year, sometimes almost two years.
And if you have a debt that was the result of a one-time expense, it gives you a nice buffer to make smaller monthly payments that might be a little bit easier on your budget and still get out of debt before that zero interest promotion ends.
So you can save potentially hundreds of dollars on interest by utilizing these products carefully.
The thing to remember, of course, is once that promotion is over, the interest rate goes right back up to its normal levels.
So if you are concerned that you won't be able to make payments in time to finish out the promotion, then that's just something to budget for.
If there's even just a month or two where you're paying interest, that still might be a substantial savings compared to doing nothing at all.
If that's not an option for you, then you can also look into things like personal loans.
These are often lower interest compared to credit cards.
They allow you to consolidate multiple loans into one set monthly payment for a set period of time.
That could be a lot easier to budget for compared to variable credit card bills every month.
It's based on your own personal financial history.
And if you can qualify for loans that cost less, offer lower interest rates than what you were paying before, it could be a good option.
Thank you for having me.
Debt consolidation allows you to roll multiple debts into one single loan.
So you're making one single payment to one lender, ideally at better terms, like a lower interest rate than you were paying before with multiple lenders.
Who it's good for can depend on what you might qualify for.
And that's different for everybody.
It's based on your own personal financial history.
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