There is no better feeling than looking at your credit score and realizing that it falls into the excellent range. It takes a lot of hard work to achieve an excellent credit score, so you should be proud of yourself.

However, there’s something to remember: just because you have excellent credit doesn’t necessarily mean you have no debt.

Depending on the type of debt you’re carrying, you may find that consolidation is in your best interest. For example, a balance transfer credit card is one of the best ways to consolidate multiple credit card balances.

Here are some of the many benefits of using a balance transfer credit card:

Easier to manage: Imagine if you could combine three credit card balances into one. It doesn’t do anything to reduce or eliminate how much you actually owe, but it works in your favor from a management perspective.
Save money on interest charges: If you carry a credit card balance from month to month, you’ll be hit with one interest charge after the next. However, with a balance transfer credit card, you can quickly take hold of this problem. One credit card means one interest payment. Also, since most balance transfer credit cards have a zero percent introductory period, you’ll have anywhere from 12 to 24 months, on average, of interest free living.
It’s a good step forward: Sometimes, the most difficult part of managing and paying off debt is taking the first step. Until you make progress, it’s easy to believe that you’ll always be stuck in your current situation. Using a balance transfer credit card is a step in the right direction, which will give you the confidence you need to proceed with your plan.

The nice thing about excellent credit is that you don’t have to concern yourself with being turned down one time after the next. Credit card issuers love working with people who have good and excellent credit, as it’s less of a risk for them.

Questions to Answer

Are you excited about the potential of using a balance transfer credit card to improve your finances?

If so, you’re close than ever to taking action. But before you do so, here are a few key questions to answer:

How many credit card balances do you want to bring under the same roof?
How much is each balance?
Do you qualify to consolidate all your balances?
What is the zero percent introductory period for the card you’re interested in?
What is the balance transfer fee? (It’s typically in the three to five percent range of what you’re transferring)

By answering these questions, you’ll find it easier to make a confident decision as to what you should do next. Even if you find that a balance transfer credit card isn’t right for you at the present time, you now have knowledge you can rely on in the future.

An excellent credit score is an achievement to be proud of. If you want to improve your finances even more, consider if a balance transfer credit card makes sense for your current situation.