Should you use a personal loan to pay off delayed credit card bills?

financialexpress.com:

Financial steps can often be as unpredictable as the monsoon rains. For Mayank Aggarwal, a young professional working in the IT sector, managing his finances was a constant juggling act. However, a recent setback led him to ponder over a critical question: Is taking a personal loan a wise choice to settle his delayed credit card bills?

Mayank, like many urban professionals, enjoyed the convenience and perks of credit cards. They offered him rewards, cashback benefits, and a seamless payment experience. However, amidst his hectic work schedule and social commitments, he overlooked a couple of credit card payment due dates. As penalties and interest charges piled up, he found himself facing a hefty bill that strained his budget. On the one hand, Mayank could apply for a personal loan to clear the outstanding credit card dues in one go. On the other hand, he hesitated due to concerns about additional debt. What should Mayank do then?

Let’s help Mayank clear his dues and stay away from further straining his financial situation.

Mayank sought insights from financial experts and online resources. He discovered that opting for a personal loan to pay off delayed credit card bills had its pros and cons, each deserving careful consideration.

Also Read: Unable to get a loan? Follow these tips to enhance your loan eligibility

By settling the credit card dues with a personal loan, Mayank could consolidate his debts into a single manageable installment, potentially reducing overall interest costs.

* Lower Interest Rates

Personal loan interest rates, especially from top lenders, tend to be lower than credit card interest rates, offering potential savings over time.

* Structured Repayment

Personal loans come with fixed repayment