Mostly consumers get confused between credit card consolidation versus debt payment but in actual the end result of both is the same.
Every consumer wants to pay off its debts as soon as possible to get rid of debt tensions.
But it's sometimes not so easy because of high interest rates its become impossible for consumers to pay off monthly payments on time.
Sometimes there total debts keep on growing because of late payment penalties and annual charges against credit cards.
Credit card consolidation versus debt payment is one of the same things with two different approaches.
Credit card consolidation means consumers have to pay single debt against multiple credit card debts.
Debt consolidation process combines all the credit cards debts of consumers into one single debt with single interest rate and having one single monthly payment.
This thing helps consumers in getting relief from managing multiple payments per month each having different interest rates.
Mostly they get rid from high interest rates because of which there monthly payments go down.
On the other hand debt payment means paying off the debt.
Debt payment is very good if consumers have sufficient funds available and they can clear all of there debts immediately.
The other approach is that they keep on going with timely monthly payments and avoid late payment penalties.
The basic purpose of both of these processes is to pay off consumers debts and lead them towards a debt free future.
It depends on consumers and vary from case to case that consumers prefer credit card consolidation versus debt payment or vice versa.
But mostly debt consolidation is only helpful for those consumers who have multiple debts against multiple credit cards.
For such consumers having more than one debts debt consolidation is very helpful as it reduces there tensions and leads them towards a debts repayments in more easy to manage way.