Of and on during the course of a working life people find themselves some what strapped for cash and particularly at the beginning of the year after spending too much over the festive season.
Times for many have been rather austere due to the credit crunch, and having economized to a great extent for almost three years now they decided to enjoy themselves and really pushed out the boat on Xmas 2009, and spent more than they perhaps should .
Credit cards were what paid for the great Xmas with a new 60 inch flat screen television now in the lounge, computers and computer games for the children a diamond ring for your wife and the luxury week end to Paris for New Year were all bought thanks to credit cards.
When you applied for your first credit card years ago the maximum you could spend on it was 4,000 and the APR was about 14% and that would make your payment 120 each month if you took your card to the limit, and paid the minimum allowed.
A big problem with these cards, and it can lead to debt problems. is that the credit card company frequently will raise the limit on your card without any recourse to yourself, and before you know it your limit can go from 4,000 to 5,000 after six months, until a few years down the line your limit is 12,000
For no particular reason the credit card interest rates rise and rise until the acceptable interest rate originally is now more than 30%.
In the meantime if you have acquired other cards you are heading for debt problems that require a speedy solution with credit card debts piling up.
Struggling to pay all these high interest cards becomes a debt problem requiring debt help and the best debt advice that can be advanced is to suggest debt consolidation which lumps all debts in credit cards and loans, if there are any, into the one single repayment each month.
Debt consolidation for homeowners is best arranged via a remortgage or a secured loan which release equity on a homeowners property to raise money to be used for debt consolidation.
With remortgages from 1.98% and secured loans from about 9% , using these home loans for debt consolidation will save a fortune.