Consumers nationwide, including in Ohio, can be the victims of life's unanticipated twists and turns. Job losses, car accidents or other unexpected occurrences can ruin any consumer's budget in the blink of an eye. In many cases, consumers have no emergency funds, and the only answer is to use credit cards. This sets a debt spiral in motion as unpaid credit card debt is difficult to overcome, and bankruptcy may be the only solution.
However, other options can be explored -- one of which is refinancing of credit card debt. This alternative may bring debt relief under certain circumstances. If a consumer juggles the payments of multiple credit cards with varying interest rates, taking out a personal loan with a lower interest rate may be an appropriate choice. If a consumer can pay off the existing credit card debt within one year, a loan may not be the most suitable option because it will keep the person paying for three to five years.