Be Cheap When You Pay Off Credit Cards

More and more Americans are facing overwhelming credit card debt and are looking for cheap ways to pay off credit card debt. The lousy economy is one reason. People are becoming jobless or under-employed. Inflation is boosting food bills, utility bills, and gas bills beyond the means of many and they are turning to credit cards as a source of income. And they well know it is very expensive income and that they need a cheap way to pay them off.Consumers facing mounting debt should be aware that the financial markets change almost daily and new options to cheaply pay off credit card debt become available. This is no call to immediate action, but take a look at the prospects, evaluate your own financial situation, and decide if one of these methods is good for you. What you want to do is pay particular attention to rates and terms so you do not end up in a situation worse than what you are now experiencing. After all, your goal is to find a cheap way to pay off credit cards.Cheap Zero Percent Credit CardsOne cheap way to pay off credit cards is the zero percent balance transfer credit card. More and more issuers are including these among their offerings, so shop around for the best deal. What happens is you take a credit card debt running at a high interest, and transfer it to another offering 0% on balance transfers. That is an immediate debt relief.These offerings usually expire anywhere from 6 months to a year. You must pay that transferred debt within that time frame or higher (sometimes the highest) interest rates kick. Do not put any new purchases on that card. Any payments you make will be devoted to the no-interest balance and the new purchase will sit on the sidelines accruing interest debt.Cheap Personal LoansAs with credit cards, personal loans are considered unsecured so they have no hold or lien on any property you may own. That is, you are not required to come up with collateral of real value such as real estate or stocks and bonds. These loans are a cheap way to pay them off. Take a loan in the amount equal to all your outstanding debt and pay them all off.Then you will be making one payment (often much less than the sum of all your usual monthly payments), at one time of the month, at one (usually much less) interest rate, to one lender. That right there makes paying bills and setting up a budget better than ever.Remortgaging for Cheap RatesSometimes things just get way out of control. If your debt is so large that you cannot find a new 0% interest card or a personal loan to cover your debt, you may want to consider borrowing against the value of your property with a home equity loan. Or, you could refinance the whole mortgage and roll your high-interest card debt into the new loan.Your interest rates will be considerably lower, you will have all the benefits of having just one creditor that you find in a personal loan, and your budget will be a lot easier to handle. Though this may be a cheap way to pay off credit cards, your home is now on the line and it would behoove you pay extra car in getting the proper payment at the proper time to your creditor.