Debt Solution News: Credit cards could form part of debt solution

07/01/2010

Using credit cards and bank accounts wisely could help consumers pay their way out of debt, a website has suggested.

Offers such as interest-free credit cards and zero per cent on balance transfers could help customers manage their debt if they pay attention to repayments, according to advice from Lovemoney.com.

As well as credit card offers, Neil Faulkner from Love Money, added that one year zero per cent overdrafts could also be beneficial and suggested one such offer from Alliance & Leicester.

Mr Faulkner suggested that interest-free cards could help with debt management as they give the consumer zero per cent on purchases providing they pay off the minimum percentage of the outstanding balance each month.

With all these deals, Mr Faulkner added that the trick is to pay attention to the timescale of your borrowing in order to avoid adding to any existing debt.

But Kevin Still from debt management experts, EuroDebt, warned that whilst these deals sound like a good idea they could just result in even more debts being piled up.

"Much better is to take a cold hard look at all the debts and work out a way to settle each of them, rather than adding more to the list.

"Working with a debt management company like EuroDebt, will help an individual do this."

Tags; Debt Management and Banking,

Regional Debt Advice; Debt Advice Leicester,

• Share
• 
• 
• Store
• 
• Follow
•