Debt and Bill Consolidation Links Page 10
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The average household in America now carries nearly $10, 000 in credit card debt, a figure that will probably continue to rise as the economy struggles. People use their credit cards during good times and bad, but during bad times the bills tend to get paid in full less often. The costs of maintaining that $10, 000 balance can be quite steep, especially with some credit card interest rates exceeding 20%. In the current economy, with many people either out of work or underemployed, many families struggle to make the minimum payment on their credit cards each month, which amounts to at least 2%...
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There are many good reasons why a debt reduction loan makes good financial sense. Many people carry a number of credit cards with high balances and high interest rates. Making even the minimum required monthly payment can be difficult. Credit cards are very often the primary reason why people get into debt situations, which causes enormous stress. If you are a home owner, with considerable equity in your home, but who also has large credit card debt with high interest rates, it might make better financial sense to use some of your home equity as collateral and apply for a debt reduction loan....
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