When getting rid of credit card debt is the goal, consolidating the balances on credit cards is often the first option considered. To be successful in your goal of debt elimination, however, it is important to understand that debt consolidation is not a way to free up credit lines on your cards, potentially only increasing the debt problem.

For more than one reason, consolidating all of your card balances might be a good choice for you. There are several positive results that can come out of debt consolidation, including getting a handle on the quickly increasing amount of your debt.

Low APR

Consider the numerous offers you no doubt already receive for debt consolidation; they might be well worth your time. In most of these offers, the initial annual percentage rate, or APR, is usually 0% for credit card consolidation in the first few months. This low APR makes consolidating debt particularly attractive since credit card interest rates are usually much higher than this. Other benefits are usually included along with the low APR, like a grace period on interest on new purchases, including the initial transfer from your other cards. A lower interest rate will help you get a handle on your credit card debt by decreasing the rate at which those balances increase.

Many consolidation offers include credit cards with member reward point programs with an initial point reward that might be very beneficial to you. You can trade in the reward points for a variety of gifts, gift cards, and other rewards that you might have had to pay cash for or worse still, had to use credit to make those purchases!

Make The Commitment Today

It’s no use at all if you consolidate your cards but keep access to the old ones as this will likely lead to more spending and increased debt. Make the commitment once and for all to consolidate your debts into one manageable loan and get rid of any cards you pay out in the process. You’ll feel much more in control of things when you have one account to manage, to focus your efforts on and set a goal to eliminate that debt over time. You can live without credit if you just begin today by realizing that it only harms your financial future it doesn’t strengthen it.