Should I Move Credit Card Debt To A Personal Loan?

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[SmoothJK]

The problem is, many people who consolidate credit card loans into personal loans end up filling the credit cards again. Now you have double the trouble.

[timhopkins]

I took a loan out for debt consolidation and honestly it one of the best things I did. But I get what Dave is saying and I do agree. Basically yes, taking out a personal loan is not a bad idea. Especially if you will have a better interest rate and save some money. However they key is just to make sure you are smart about it. have the mentality that you still have a lot of debt. Basically have discipline.

[wtk]

If you don't correct the behavior that caused the debt, you'll just have the personal loan plus more credit card debt. Been there.

[jadiecakes]

I feel like dave has missed a big point on why consolidation is great. Consolidation gives you a structured payment plan, you HAVE to make that payment (most banks direct debit it), where as credit is whenever you want to pay it. The number one rule is cancelling your credit card if you consolidate so you cant use it.

The other pro is you now have a fixed payment on a fixed term, so if you live by budgeting its a lot easier to say i need to budget this fixed amount every month than "hmm maybe ill pay this amount off this month". So if you dont have the mindset to pay your credit off, the consolidation is actually great, because you never have to think about it.

[JogBird]

Dave should market his own brand of 'Rice and Beans', sell it st the dollar store 😁

[KrystalToddCPA]

The average credit card rate is 17% so it would not only reduce the amount that has to be paid back but if they still maintain the same payment or make a higher payment it will also reduce the amount of time it will take to pay off which to me is a good move. Just don't turn around and start spending money on the credit card.

[stephenshelton]

The sad thing is, saving $1000 on a $10, 000 debt would be incredible, but the mentality that created that $10, 000 in debt will view that $1000 in savings as a reason to spend another $2000!

[DPT]

Consolidation is good because it cleans up the logistics of paying only one company, and a lower interest rate slows (not stops) the bleeding. I've heard to many people though try to consolidate themselves out of debt without addressing the base issue they are spending addicts. It's fine that save as long as you make real progress on the debt load.

[ThinkMoneyBenny]

"You are the meat, the pickles, the onions and the bread. You are the hamburger."


Who else just got hungry?

[IlFree]

Thank You Dave . . . For Everything. 🙏🏼

[maureen]

Doing it Dave's way has taught me so much since I started my debt payoff in Oct '19. I'm 45 and I finally feel like a responsible adult. Hiccups anxiety and U-turns are part of the learning process. Thanks so much Dave. Much love😇💞

[annMarien]

What an amazing video ramsey, love it. I also know another company that grants up to 10k. Very reasonable interest rates too.

[animatedtheories]

Thank you, not sure if you will read this but ever since I was 16 I've been watching these videos, and it has helped me understand the importance of saving for the future, and sacrificing now for the future.
Glad to say that I'm now 17 with over 5k saved
Love from the UK

[FeRmBot]

Like he said it's fine, just make sure it gets fixed.

[philipmurray]

If you've decided to make the SMART decision to stop using debt and start paying it off, why not make another SMART decision and pay off less? Right?

[crystallibby]

This is honestly exactly what I needed to hear. Thank you so much.

[beastfromtheeast]

I would, shoot why not if you can get a low interest rate. But it’ll take more discipline because the credit card is now at a 0 balance which can be tempting to charge something.

[slydogger]

90% of my friends and family consolidate and not long after the credit cards are maxed again plus a consolidation loan. Shaking My Head!

[TJ-owjo]

Such a great message thank you for this. 🙏

[CaseyBurnsInvesting]

You are your biggest asset.

Lower the interest rate sure but, interests rates aren’t the main problem America should focus on when investing small amounts of money or paying off debt.

Just get cracking.