Bank of america consolidating debt
That means that for the person that might already have higher interest rates because of their credit, then they will most likely get an initial interest rate that is higher, or up to 21.99%. Making a blanket statement that taking advantage of the Bank of America Cleen Sweep debt consolidation plan is going to get you out of debt faster is grand hyperbole.There is no way of knowing if you would even get out of debt faster even with the initial minimum APR since the rate is variable rather than fixed and it is impossible to predict what changes to the interest rate will be during the period of repayment.So this statement and inducement does not make this offer a benevolent gesture by Bank of America to help the consumer to better handle their finances in these troubled times.It is designed to allow Bank of America to also extend even more debt, to get you further into debt, even though it is called a debt consolidation plan and promoted on the envelope to help you get out of debt. I’ve highlighted some of the statements on the front that got my attention. So this isn’t even close to being a fixed monthly payment debt reduction offer if when the APR changes, which it will, it will cause my payments to increase and the repayment period to become longer.The bolded statement “to help you get out of debt” is a wish at best.Taking advantage of this offer does not mean that you will get out of debt.
The statement is obviously designed to make you believe that it will be a fixed monthly payment in the enclosed offer. I’m honestly not sure because while taking Bank of America up on their offer by filling out a few lines or calling them might get you approved fast, it would be a bold stretch of the imagination to say that this loan will get you out of debt faster unless you are currently being charged much higher interest rates.
Let me first start with the asterisks and referenced statements and then we’ll get to specific statements made in the offer.
Next to the statement “A loan amount up to ,000″ there is an asterisk that refers to the following clarification. FIA Card Services is the name taken by MBNA when it became a subsidiary of Bank of America.
I thought it would be beneficial to take a close look at this offer and use it to help educate readers about what to look for and how the marketing message and reality can be two completely different things.
Once we finish reviewing this offer you will find that rather than a great tool to help you to get out of debt, the offer actually encourages you to use the line of credit to go even further into debt. Of the marketing inducements made on the envelope I knew that only one of the four items was probably true, “One Phone Call”.
The rate you are offered depends on your personal circumstances, the loan amount and the repayment term, and may differ from the Representative APR.