Banks are at it again…apparently those balance transfer offers at 0% are flying off the shelves so to speak from credit card companies. The problem? Well, a consumer research study finds that 30% to 60% of the people who take advantage of the 0% interest rate offer fail to pay off the debt during the introductory period.
As a result, these individuals are then hit with high interest rates that are retroactive to the first date of the balance transfer. In addition, credit card companies are targeting consumers with subprime credit scores, in the hopes that they will default on the introductory rate in order to collect more fees from the consumer. The only way to stop this practice is to avoid the lure of the 0% interest rate. If you find that you need to take advantage of that 0% interest rate in order to make ends meet, it is time to face the debt that you have accumulated by consulting with a debt settlement attorney. Get out from the reach of the credit card companies…don’t let them lure you in!