Dave Says: Transfer Credit Debt to Another Credit Card?

Dear Dave,
I’m thinking about transferring the $2,500 in credit card debt I’ve accumulated on my current card to another one with a lower interest rate. Is this a smart move toward getting out of debt?
-- Trevor

Dear Trevor,
It will save you a little money thanks to the lower interest rate, but the big problem is that it’ll also make you feel like you’ve done something about the situation when you really haven’t. Plus, the offers you’ll find for zero-interest or low-interest credit cards are good only for short periods of time. There’s always a catch.

The best thing you can do is get jacked-up angry about attacking this debt and get rid of it as fast as possible. You can sell some stuff, take on an extra job for a little while and knock it out in less than a year by making $250 payments every month.

Lots of people make this kind of switch for the interest rate, Trevor, but they don’t change the behavior that got them in trouble in the first place. If you don’t get mad at debt and draw a line in the sand where you’re determined never to borrow money again, you’re liable to find yourself back in the same bad situation.

Dave