After the excitement and joy of handing out presents to loved ones over the holidays, the reality of overextended credit card debts may hit some Arkansas consumers in January. No one wants to face a credit card lawsuit, and when the bills start arriving, consumers may explore remedies that will provide a quick solution. A popular choice at the beginning of every year is said to be 0% balance transfers on credit cards. Although the potential of quick debt relief without interest may be appealing, there are several pitfalls to consider.

Balance transfer offers from the different credit card providers vary, but each one has a time limit for the zero percent offers. Debt that is not paid within that time will be subject to the provider’s regular interest rate that may — in some cases — be higher than the rate on the original card. Consumers may also want to clarify whether the offer of no interest includes balance transfers or only applies to purchases. When selecting a balance transfer offer, it may also be important to take note of the fees charged. In most cases a percentage of the transfer amount is charged as a fee.

Although not all providers require high credit scores, the best offers typically require the applicants to have credit scores of at least 700. Consumers are sometimes tempted with additional offers such as bonuses for spending certain amounts on the card within the first few months, encouraging additional spending while the cardholder is trying to reduce credit card debt. Consumers may want to remember that credit card providers are in the business of making money, and they will use different methods to achieve their goals.

A consumer who is concerned about his or her credit card debts becoming overwhelming may want to avoid making hasty decisions that may, after all, not prevent a credit card lawsuit. An experienced Arkansas bankruptcy attorney can explain the protection that is offered by the different chapters of the U.S. Bankruptcy Code. Credit card debt can be discharged through personal bankruptcy, and collection actions will stop as soon as a consumer files for bankruptcy.

Source:, “7 Ways to Get the Most From a Balance Transfer Credit Card“, Robert Berger, Jan. 11, 2016