High interest rates and fees can make paying off credit card debt difficult, but you may be able to improve your progress by borrowing to pay off your debt. The key is borrowing enough to pay off credit card debt at a much lower APR than your existing debts carry. APR, or annual percentage rate, is the amount of interest and finance charges expressed as an annual percentage of a balance owed. The APR for each of your accounts appears on your monthly statements.
Debt Consolidation: Considering Your Options
Several factors impact your ability to borrow money for debt consolidation:
- Amount of your debt: It can be difficult to get debt consolidation loans when you have thousands of dollars in credit card debt.
