Do you worry about racking up a lot of credit card bills? With an instant credit line, Credit Cards make it easy to shop, travel, and enjoy a normal lifestyle.
You could be charged high-interest rates if you miss a payment on a card or pay the minimum amount. This can quickly add up to a mountain of debt, which could cause further damage to your credit score.
Although it can seem daunting to pay off credit cards, it is the best way to reduce these debts. There are many ways to combine credit debts. It is best to look into consolidating your debts.
What’s Credit Card Consolidation?
Credit Card Consolidation allows borrowers to consolidate all outstanding debts into one payment. This is a cost-effective way to consolidate multiple credit card debts.
Borrowers need only to keep track of one monthly payment and remember when it is due. You can save money on interest rates by paying lower rates than credit cards. Borrowers can clear debt quickly.
Credit Card Consolidation: How Does It Work?
The debt consolidation process is simple. You can combine all your debts with the assistance of a credit counselor or loan officer.
A personal loan can be obtained, or you can choose to pay a monthly installment. This makes it easier to manage your finances and lowers the annual percentage rate of debt.
You have one more question. Are you ready to consolidate your debt? Next, we’ll discuss how to get the most out of consolidating debt.
Consolidating Card Debt
Manage these consolidated credit card debts to avoid the debt cycle. This will allow you to calculate the amount due and the time it should be paid. These are the ways you can do this:
Check Your Credit Card Bills
Credit card statements can be affected by fraud and errors. You should review your credit history. It is also possible to check which of your largest expenses were made in the last 12 months. You can also reduce the amount of paperwork required to handle multiple sources. You can reduce unexpected expenses by reviewing your statements.
Save
Savings could help you pay your credit card bills. Check your cash and investments before you decide on an alternative. This will allow you to determine if your savings can pay off the debt.
Get a Personal Loan
For those with little savings, personal loans are an option. This unsecured loan can be used to meet your short-term financial goals. You can pay off all credit card debts by taking out the loan amount. This allows you to pay the debt in installments at a lower interest rate.
Plan Future Expenses Wisely
Your debts could increase if you use credit cards to pay for your expenses. Savings can be a great way to pay unexpected expenses. Savings are a cost-effective and sustainable way to purchase anything you desire. It is vital to save money for your future financial needs.
You can check interest rates and other payment options that allow you to shop seamlessly on your credit card. It is important to address credit card debts immediately. You can use the LoanTap Credit Card Debt Consolidation Loan as an immediate solution.
What’s a card consolidation debt loan?
A credit card takeover loan lets you pay off debts using the sanctioned loan amount. You can get a loan amount of INR 50,000 up to INR 2,00,000. There are flexible repayment options. This Credit Card Debt loan will allow you to stop paying multiple credit card bills immediately. This is the first step in improving your CIBIL Score.
You can also choose to repay the loan in one of two ways –
Step Up Installation: This Step Up Loan allows you to manage your expenditures with interest-only payments. You will pay the principal amount for three months and then the fixed EMIs for the remainder of the term. This loan allows you to manage your expenses in the most efficient way possible. This loan is great if you have to pay large credit card debts.
Term loan Installment: If you have a clear idea of the loan amount and your income is stable, this Term Loan is appropriate. You can make your monthly payments via fixed-equivalent monthly installments. EMI is the interest plus principal. This will allow the loan to be repaid over the agreed term.
The benefits of taking a Credit Card Consolidation Loan In India
No collateral required: The personal debt consolidation loan can be used without collateral or assets to secure the loan amount. Credit card takeover loans are essentially unsecured loans. Personal loans are very popular with the younger generation because of this feature.
Low-Interest Rate: Personal loans are much more affordable than credit cards. You can get it at a rate of 1.5% to 2% per month, compared with credit card interest rates of 2.5-3% for the outstanding loan balance.
Instant disbursal approval: This loan is quick and easy to apply for. It will activate instant disbursal within 24hrs if your application meets all conditions and has a good CIBIL Score. In just a few clicks, you can receive your cash.
Minimum Documentation. The debt Consolidation loan Facility requires you to provide a few documents to verify your details. We collect all required documentation in less than 24 hours to verify your application.
This personal loan is designed to help you manage your debts and improve your financial health. This loan will improve your credit score. The Consolidation credit card loan will stop you from falling into the trap of paying large amounts each year at 24% – 36%interest rates.
Flexible prepayment charges: You have the option to make higher monthly payments towards your loan. There are no prepayment fees for higher payments, and there is no foreclosure charge after six months. If you prepay within six months, however, you will only be charged a minimal amount.
How to Apply for the Debt Consolidation loan
With just a few documents, obtaining a debt takeover loan is simple. You must apply online to get an instant loan. This guide will help you make your online loan application as easy as possible.
- Install the LoanTap app from Google Play Store or visit the page to apply online.
- Enter your personal and professional information to create your loan application.
- Send the following documents: Address proof, PAN, Address Proof, 3 months’ pay slips, and 6 months’ bank statement for your salary account.
- Wait for the LoanTap team to verify the documents and provide a response.
- After the KYC has been completed, the loan approval will be made along with any other credit checks on the same day.
