Debts consolidation: use credit card balance transfert for your own benefit

I live in Montreal (Canada). I had been hurt by the recession; I explain my personal situation in another HubPages article of mine. But even there, I find several ways to help myself financially. I am not a professional in the field of finance. I always say that right in top f my financial articles. But I am repeating myself once again in this article. My goal is to share my own experience with the financial sector. By doing so, I hope to give hope to those who are less fortunate. And I am one of yours. I don’t have a fantastic career and a good paying job. But I love what I do as a living. I support myself by working at 2, if not 3 different jobs at the same time. But even there, even if I had face different challenge, I had been able to reach my investment goal, which was to reach 50 000$ assets in investment.

While other are looking into home refinancing, home equity loans and on ways to reduce their bad debt mortgage, we personally are looking forward to dig into the advantages that can procure a credit card balance transfert. I have the chance to own several credit card. When not too much money become available in your online savings accounts, debt consolidation can be a good solution to resolve debt problems and I am going to explain to you how you can make things turn for the best by using a simple personal financial tool: credit card balance transfert.

Introduction to my 50 000$ investment goal

Let’s start form the early beginning of my financial life. Back in 2007, I give myself an achievable financial goal: to reach 50 000$ worth in assets. And on August 5^th, 2009 happen what I taught I will only reach later on in 2009: I reach 50 000$ worth in assets. Thanks to a jump from the TSX to 11 000 points, I had been able to reach my investment goal. Once this goal reach, I knew nothing could stop me from becoming successful in my financial choices. The next step for me was to discover financial resources that will allow me to save money.

How I turn into a credit card addict

In the world of today, credit card rewards pointscan be very appealing as they offer a lot of rewards to their owner. I find travel reward credit cards particularly appealing. How wouldn’t like to pay itself a treat trip by using their reward points, without spending a dime? Banks and other institutional institutions had understood that a long time ago.

I had been attracted by credit card points when I started working full-time. It was in 2005. And I find it terrible easy to complete a visa credit card application. And all those offers and extraordinary rewards were extremely appealing to me. So appealing that I soon got: one TD Visa, one credit line at TD, one CIBC Visa, one RBC Visa, one Desjardins student credit card and not the last, one American Express. For a reason or another, I got really into those Air Miles Rewards. Vast majority of my credit accounts had been open in 2005. One of the advantages of this would be that it allows me to establish myself a good credit history at an early age. But be careful when opening credit: don’t open too much credit card and other of those marvelous things at the same time because it could bad rate your credit score. Opening too much credit at the same time is never a good thing. At a point, one of my requests for a new credit card had been rejected because I was opening too much credit card at the same time. The credit bureau never understood that I was opening credit card for the reward points that was coming with it.

And about my credit card debts

Because the 0 interest credit card does not exist, credit card debts are among the worst dangerous debts of the world. I use the term “dangerous debts” because at an interest rate of 19%, the interest that applied to some credit cards can turn out in something that can be really disturbing. If a person holds too much of bad debts, it can dramatically turn into a nightmare. That’s actually when holders need bad debt help. In Canada,thebest credit card rates is at Desjardins. Desjardins offers Visa Desjardins Modulo Gold at the interest rate of 9.9%. But an annual fee of 50$ need to be paid. After this little introduction, now is time to introduce the reason why I got in touch with credit card debt.

Here’s my story about debt. The year 2008 had been an extraordinary year for me. But I never work harder in my life. I was able to make 44 000$ in working salary. You can imagine how happy I was to learn, after doing my taxes in April 2009, that I had earn a total of 44 000$ for the year 2008. I had 3 jobs, the money was coming easily and everything was absolutely perfect. Here in Canada, Canadians pay a lot in income taxes. And I had to pay 3 000$ extra in income taxes in April 2009 for my income of 2008. I had money to pay the extra in payment require for my taxes. Money was not the problem. But the problem was the following: all of my money I had been invested in stocks, units, GIC and mutual funds. And for nothing in the world I would had sell one of my investment for the only good reason that I never did, I never sell one of my investments of all my life and wanted things to remain the same. And also, I had that investment dream of mine, to reach 50 000$ value in investment, and I didn’t want touch any of my investment because of that dream.

Credit card debt consolidation management: because solutions exist

This is actually the most exciting part, where you are going to learn how you can use credit card balance transfert for your own benefit, as announced in title.

As you can imagine, I was desperately searching for a way to pay off my taxes without taking the money from my investment. My country, Canada, wanted me to pay more in taxes and there was nothing I could do about. I didn’t have any contacts like Brian Mulroney, ex-prime minister of Canada, who could had help be to not to pay taxes on 200 000$. In my case, it was less than 200 000$, but still, money had been requested from me. No matter if I had work at 3 different jobs for that money or not. Because our Canadian Tories government under Stephen Harper doesn’t care about such things. Anyway, we will certainly talk a lot more about Brian Mulroney and his contacts at Canada Revenue Agency in another article.

Luckily, I had been offered by TD Visa a low interested rate of 3.99% on credit card balance transfert. I had a limit of 10 000$ on my RBC Visa. I withdraw 1 000$ per day on 3 days in a row from my RBC Visa. Each day, immediately after the withdraw was completed, I was paying the 1 000$ with a special check that had been provided to me by TD Visa. And each day, you can imagine, I had 1 000$ in real money “in my pockets” that I was deposing in my banking account… Those were magic times… fantastic times to tell you the true. And this continues like that for 3 days. On the third day, I was exhausted, but happy, because I could see that my dream was slowly going to go through I was going to make it, I could feel it. I could feel the 50 000$ in my mattress while going to bed at night. I had a feeling, money was about to grow.

Conclusion

Credit cad debt helps me to pay my income taxes. This situation is really unique. But I have to say, I felt it’s the privilege to have credit card as it’s the privilege to have debt and to live just for the money. It’s really at that point. In date of today, I still have student loan debt and also a credit line debt.

Having a lot of credit under your name is not a bad thing if you know how to use it to your advantage. Debt management is the key to a successful recovery. By managing your debt, you’re a pace closer to financial freedom. Good and well prepared debt management plans can help to save you hundreds of dollars per year.

While searching for a solution for your debts, banks can providedebt assistance. A meeting with debt counsellors can also be of a great help. Debt consolidation care can be right across the corner.