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It’s hard to find someone who wouldn’t like to get something for free. As for interest rates and loan deals «0» is a magical number and that’s why consumers literally chase after such offers. Most of them think that there’s nothing better than interest- free credit card.

Quite often people use such cards to deal with the massive debt they have. Opportunity to use the money within definite time period attracts many but not everybody knows that when interest free period will be over then high interest rate will be charged.

Consumers must understand that there’s nothing the credit company will do without making its profit. If there’s something for free then start looking for downfalls.  In any case, there are lending products which are good alternatives to interest-free credit card.

Bonus: Learn how to get free money from the government.

P2P Lending

Peer-to-peer lending is often called one the best way for borrowing funds. But keep in mind that this option is available for people with relatively high credit scores. The thing is that P2P websites offer loans with very low interest rates. For example, in some occasions APR can be as low as 6.7%. Finding a credit card with such low APR is not so easy.

Most consumers with good credit take an advantage of P2P lending to deal with their high interest rate loans. If you need to pay off the debt and you feel that the interest you pay is eating your budget then check your credit score and surf the Internet to find P2P lending websites.

Personal Loans and Credit Unions

There is a variety of personal loans so get ready to spend some time shopping around. Decide whether you need secured or unsecured loan and make sure your credit score allows you to apply to the bank. Credit unions often offer loan deals with relatively low interest rates, even banks sometimes don’t do such good offers. That’s why it’s worth starting from there.

If your credit is in order, then you can go to the bank and ask what they can offer. But if your credit is in a bad condition then consider unsecured personal loans. But shop carefully; try to find a loan with an interest rate lower than credit cards have otherwise searching for an alternative start losing its sense. Some unsecured loans are easy to get and available for consumers with bad or no credit.

HELOC and Equity Loans

Also you can take an advantage of home equity line of credit or an equity loan. To do that your credit score should be high and your income should be steady. If you have all that you can use your home as collateral and get a loan or a line of credit with a very low interest rate for your needs. It can help you to pay off an expensive debt and to save money on paying the interest.

There’s one important point to consider – both of these options are based on borrowing money against your property and if you fail to repay you can lose a roof over head. That’s why there’s a need to compare all the options and think carefully before making your decision.

P.S. Learn how get a credit card with a bad credit score.