Editor's choice: Payoff personal loans
- Competitive rates compared to credit card APRs
- Monthly FICO score updates
- Top-tier customer service
Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
You might’ve racked up debt when your credit score wasn’t the best. Now that you have a good credit score over 680, you’re in a good place to consolidate your debt and save money on interest.
A good credit score can net you some of the most lucrative rates on consolidation loans, plus grant you access to coveted balance transfer credit cards featuring 0% promotional APRs. Since debt consolidation rolls your existing debts into a single payment, a consolidation loan or balance transfer credit card can save you more money than if you paid your debts individually.
Both are suitable options for people with good credit. Balance transfer credit cards often offer low or no APR for a period of time on the debt you transfer to the card. Banks, credit unions and online lenders offer personal loans to pay off debt, often with competitive, low rates.
Balance transfer credit cards can offer competitive rates on your transfer. Many cards offer a lengthy 0% APR intro period, saving you on interest while you pay down your debt. This could be a solid option if you have debt on multiple credit cards with high APRs. But you generally can’t transfer debt between cards with the same provider — like between two Chase cards.
To qualify for a debt consolidation loan, you’ll typically need a low debt-to-income ratio in addition to having good credit. Your interest rates and loan amounts are based on your creditworthiness, meaning you’re looking at ideal terms if you have good credit.
Review your circumstances — financial and otherwise — before choosing the best option. Consider the following:
It’s understandable to be concerned about how consolidating your debt could affect your credit, especially when you have a good credit score to maintain. Applying for both consolidation loans or balance transfer cards can affect your credit, though not always negatively. Consider:
To consolidate without hurting your credit, make on-time payments and have a clear idea of your payoff date. Additionally:
If you have good credit, debt consolidation can help you pay off your debts faster while saving on interest. Compare balance transfer cards against your options for consolidation loans to find the best solution for you.
Here’s a breakdown of Wells Fargo’s common account fees and how to avoid them.
Unifimoney lets you spend, save and invest, but it’s only free for high-income individuals.
Find out how to increase your borrowing power and get approved for a mortgage even if you have a car loan.
A strong travel cashback card with no annual fee.
A solid rewards card with a few particular strengths that make it stand out.
While not a bad credit-building choice, you have better options.
This type of savings account can save you from a lot of financial stress and anxiety.
The Chase United Quest piles on the perks without breaking the bank.
Learn about what will happen to your home loan when you die and how to avoid any nasty situations with some pre-planning.
Use these credit card combinations to boost your rewards earnings.
finder.com is an independent comparison platform and information service that aims to provide you with the tools you need to make better decisions. While we are independent, the offers that appear on this site are from companies from which finder.com receives compensation. We may receive compensation from our partners for placement of their products or services. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn't influence our assessment of those products. Please don't interpret the order in which products appear on our Site as any endorsement or recommendation from us. finder.com compares a wide range of products, providers and services but we don't provide information on all available products, providers or services. Please appreciate that there may be other options available to you than the products, providers or services covered by our service.