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This article is for information only. It does not constitute advice. Chase Saunders Ltd does not provide services for savings, investments, mortgages or insurance. You should seek advice on these areas from a qualified financial advisor.

Debt consolidation suggested for credit card debt

Article Category: Debt Consolidation Help and Advice

Debt consolidation loans may be a way to counter credit card debt, one online product comparison service has advised.

Mike Naylor, personal finance expert at uSwitch.com, stated that consumers who find that their finances have taken a hit through stealth charges may wish to consider consolidating their debts.

Mr Naylor explained that a debt of £5,000 repaid over three years would see consumers pay interest of £504.76 on a typical annual percentage rate of 6.5 per cent.

"This offers peace of mind with a fixed interest rate and fixed monthly repayments," he said.

Britons may be more at risk of credit card debt as providers implement costly tweaks to terms and conditions, the website has warned.

It was pointed out that while changes implemented to credit card deals - such as balance transfer fees that are subject to no cap, cash withdrawal fees and the practice of clearing the most expensive debts last - may appear small, they can accumulate to a level that may prove expensive for holders.

Robin Amlot, senior editor of Moneyextra.com, recently suggested that debt consolidation loans can make "a great deal of sense" when used sensibly.

For more information about debt consolidation call our advisors on 08000 122 118 for FREE, no obligation help and advice.


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Created on 07/11/2007 13:33:47
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