It’s easier to have a credit problem than a debt problem. Nobody wants to think that they are in debt and it’s unmanageable. However, more often than not, if you’re having a credit problem it’s also a debt issue too. The inability to complete any further balance transfers on credit cards may be down to your credit score and that the credit referencing agencies believe you are too high a risk. This may mean you can’t balance transfer your credit card debt.
If you can’t balance transfer your debts then you’ll be paying interest on the cards each month for having the credit facility. There are a number of credit cards that could help you but if you’re unable to get these then you may need debt help.
What is Balance Transferring?
The process of balancing transferring is moving your existing debt onto one new credit card with one interest rate. The new card will usually come with an interest free period so that you can try to clear some of the debt each month.
When you balance transfer you pay a fee to do so, usually around 1.5% – 2% of the total balance. So, if existing credit cards are adding interest each month then you could benefit from the promotional offer from your new credit card provider and save money on the interest. Before people contact our charity money advisors, they will usually have balance transferred a number of times to avoid dealing with the debt. Most people never pay off their debt even after transferring the debt to a new card and benefiting from the interest free period.
Can’t Balance Transfer my Credit Cards / Rejected for Application
If you have been rejected for a credit card application which had a 0% introductory offer on balance transfers then there are a number of reasons this could happen. You could have applied for the wrong card – some cards require you to have a very high credit score. You may have an issue with your credit history. To check this you should speak to Experian, Equifax or Call Credit who are the three main referencing agencies. Even a wrong address or inaccurate details can mean you are rejected for your application.
Every time you apply for finance you are leaving a “footprint” on your file. Too many footprints within a short period of time can also impact your ability to have your application accepted.
In the end, if your debts are severe and you don’t think you will be able to resolve them in full, even with a 0% introductory offer, speak to Debt Support Trust. Many debt solutions can have you debt free in less time than continuing to borrow on loans and credit cards. You can call our charity money advisors on 0800 085 0226 today.
Debt Advice for Credit Cards
There are positives and negatives of entering a debt solution to resolve money worries, all of which will be explained in full detail. The most prominent is that with debt solutions you will usually impact your credit score. However, you will be resolving your outstanding debt problems so that you can once again be debt free from credit card, loans, overdrafts, payday loans and other forms of unsecured credit.
If you get in touch with Debt Support Trust you are under no obligation to proceed with any of our advice and it’s 100% confidential – it won’t be registered on your credit file.
You can also complete our debt test below to find out which debt solutions you could be applicable for. It takes 10 minutes and will give you suggested routes to become debt free.