Consolidating credit card debt is a very popular way to reduce the amount of interest you pay on a credit card. There is more than meets the eye, however, so don’t think that a credit card consolidation is the only & best way to reduce your total interest charges.

Here are a few ways you can affordably consolidate a credit card debt:

    • Use a P2P Loan – Peer-to-peer lending sites are a popular way to combine credit card debts in consolidation. Consolidating credit card loans through a P2P lending site is as easy as applying for a loan, waiting for the loan to be fully funded, and then distributing the loan to your existing creditors. A P2P site like Prosper or Lending Club allows you to choose from a 3-5 year amortization period, freeing you of debt in less than five years.
      • Personal loans – A personal loan from a bank is a great way to trade high-interest unsecured debt from a credit card into a low interest unsecured loan from a bank. If you have a good relationship with a local bank, consider leveraging it to receive a personal loan at a lower interest rate to consolidate your credit card debt. A traditional personal loan can range in amortization period from 1-10 years, making it more flexible than online options like a P2P loan.
        • Balance transfers – Transferring your balances to another credit card company for low rates is another way to reduce your total debt load. A balance transfer offer will give you up to 18 months of 0% interest, enough time to substantially reduce interest charges and pay off your debt in the most efficient way possible. If you can pay off your debt in less than 18 months, consider a balance transfer offer as it will have the lowest interest rate.

          Consolidating credit card debt is not as straightforward as going to a consolidation company. Consider the above options before using a consolidation service for small credit card debts. Often, reducing the interest is enough to reduce the burden of credit card debt to make it more manageable.

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