Credit card debt consolidation (also referred to as balance transfer) is the process of consolidating debt from multiple credit cards cards with a higher APR to credit cards with a lower APR (ideally one or two cards).

Credit card debt consolidation can also be accomplished by obtaining a bank loan (at a lower interest rate) and using it towards paying the debt on the higher APR credit cards. This loan is then paid-back to the bank in the form of monthly installments.

Whatever method you adopt to consolidate your credit cards, APR will always be the key. However, there is a catch that you must be aware of when making a plan to consolidate credit card debt. The low APR rates advertised by most credit card suppliers are the short term APR rates which are meant to lure you from their competitors.

Take some time to properly analyze the offers from various banks and credit card suppliers. Check the time period for which 0% APR is being offered and also the APR that would be applicable after the lapse of that period. Generally, 0% APR will apply for an initial period of less than 12 months or some other period after which time the APR rate increases. So, if you’re planning on paying off a considerable amount of debt in that time frame then this approach will work, even if the APR (post 0% period) is a bit higher. However, if that is not the case, the long term APR is going to be the most important thing for you to consider.

Before you move on to consolidate credit card debt it’s important to understand that consolidating credit card debt will be beneficial only if you pledge to adopt and follow a disciplined approach to controlled spending.

Well, the way out begins with meeting your credit card debt head on with a strategy to eliminate it completely.

There are many ways in which you can eliminate credit card debt and no shortage of advice. However, here is a simple step by step account of what you can do to begin to reduce and eventually get rid of your credit card debt.

1. Take stock of the situation i.e. draw up a table with the following fields: credit card name, balance, payment due day, APR, reward points earned, redemption offers applicable for your reward points balance, remarks.

2. Fill the table with data from your various credit cards.

3. Figure out which credit card is contributing the most to your overall debt i.e. highest APR and highest balance.

4. Check if reward points can be used to make partial payments or cover any kind of fees or if the points can be bartered for something you need (spending less means preventing credit card debt from getting worse).

5. First eliminate debt on the credit card that is contributing the most to your credit card debt.

6. Practice controlled and healthy spending habits (after all you are looking to get rid of your credit card debt not aggravate it) .

7. Look for alternative means of adding to your income (more money means earlier termination of debt).

Remember this is just one of the ways to eliminate credit card debt, you might devise your own way for accomplishing this. Any and every approach is good if it fulfills the objective.

Unlike other negative information which stays on your credit report for 7 years, bankruptcy can be reported for up to 10 years.

Bankruptcy courts keep cases active for a period of two years before placing them on microfiche.

If your Chapter 7 bankruptcy has aged at least 27 months since the date of discharge, your in a great position to make it disappear forever, simply file disputes with the credit bureaus indicating that your bankruptcy was a Chapter 13 and not a Chapter 7.

You need not provide any documentation to support your dispute, the burden of proof is on the government.

Bankruptcy courts do not respond to requests for verification on cases which has been archived to microfiche, as a result the credit bureaus are required by law to delete the bankruptcy permanantly.

Approximately 80% of U.S. financial institutions report to ChexSystems. Their database has records of some 19 million accounts closed due to negative activity. Each report remains in their files for 5 years unless the bank or credit union that filed the report requests its removal, or if Chexsystems is required to remove it under applicable law as a result of a consumer dispute process.

You can request a copy of your report by calling ChexSystems customer service at (800) 513-7125. If you tell them that you have been denied an account at a bank or credit union within the past 60 days, then you will recieve your report for free. If not they will charge you $8.00. We’ve heard that ChexSystems doesn’t verify if you’ve been denied an account recently and will simply take your word for it, and send you a report for free. Once you have recieved your report you can begin the dispute process by mail, they have 45 days to comply.

Alternatively you can open an account with a bank that doesn’t require a perfect ChexSystems record or disregards it altogether.

Here’s a list of banks by state:

Alabama

ABC Bancorp
Colonial Bank
SouthTrust Bank
SouthFirst Bancshares

Alaska

Alaska Pacific Bank
Arkansas
BOK Financial
Union Planters Bank

Arizona

Arizona Federal Credit Union
Armed Forces Bank
Compass Bank
DM Federal Credit Union

California

Armed Forces Bank
Broadway Federal Bank
First Entertainment Federal Credit Union
Six Rivers National Bank
Summit National Bank
US Bank of Walnut Creek
Wescom Credit Union

Colorado

The Armed Forces Bank
Adams Bank & Trust
Community First National Bank
Equitable Savings & Loan
First National Bank
First United Bank
TCF Bank
University of Colorado Federal Credit Union
Valley Bank and Trust

Connecticut

RBC Centura
Savings Institute
Southington Savings

Delaware

Fort Sill National Bank

Florida

ABC Bancorp
Bank United
City National Bank
Colonial Bank
Compass Bank
Fidelity Federal
GTE Federal Credit Union
Marketplace Bank
Members First Credit Union
Peoples Credit Union
Provident Bank
Raymond James Bank
Union Planters Bank
United Bank
Wachovia Corporation
First National Bank

Georgia

ABC Bancorp
Colonial Bank
Columbus Bank & Trust
Excel Federal Credit Union
RBC Centura
SouthTrust Bank
Summit National Bank
Wachovia Corporation

Hawaii

Home Street Bank

Idaho

Home Street Bank

Illinois

Armed Forces Bank
Allegiance Community Bank
Catlin Bank
Hawthorn Bank
Mid-Town Bank
TCF National Bank
Union Planters Bank

Indiana

National City Bank
Union Planters Bank

Iowa

Farmers and Merchants Bank & Trust
Union Planters Bank

Kansas

Armed Forces Bank
Team Financial

Kentucky

Armed Forces Bank
National City Bank
Provident Bank
Union Planters Bank

Louisiana

Union Planters Bank

Maine

Bank of New Hampshire

Maryland

Armed Forces Bank
Equitable Federal Savings
Susquehanna Bancshares

Massachusetts

Bank Of New Hampshire

Michigan

National City Bank
Sky Bank
South Trust
TCF Bank

Minnesota

Adrian State Bank
Marquette Bank
Norwest Bank
TCF National Bank

Mississippi

First Tennessee National Bank
Trustmark National

Missouri

Armed Forces Bank
Allegiant Bank
Team Financial

Nebraska

Adams Bank & Trust
Team Financial
Unibanco

Nevada

Armed Forces Bank
Colonial Bank
First Entertainment Federal Credit Union
Nevada State Bank

New Jersey

Armed Forces Bank
Susquehanna Bancshares

New Hampshire

Bank Of New Hampshire

New Mexico

Alamogordo Federal
BOK Financial
Commerce Bank
Compass Bank
New Mexico Educator’s Credit Union

New York

Alternatives Federal Credit Union
Bank Of New Hampshire
Bank of New York
Columbia-Barnard Federal Credit Union
Cross County Federal Savings Bank
First Entertainment Federal Credit Union
Great Eastern Bank
Ticonderoga Federal Credit Union
Tompkins County Trust Company

North Carolina

Allegheny First Bank
Capital Bank
First Citizen’s Bank
Fort Sill National Bank
NBC Bank
RBC Centura
SouthTrust Bank
Wachovia Corporation

Ohio

Apple Creek Banking Company
Advance Financial Savings
First National Bank
Franklin Savings
National City Bank
Sky Bank

Oklahoma

BOK Financial
First National Bank
Fort Sill National Bank
Stillwater National Bank & Trust

Oregon

Home Street Bank

Pennsylvania

Allfirst Bank
Allegheny Valley Bank of Pittsburgh
Dollar Bank
Firstrust Bank
National City Bank
Sky Bank
Susquehanna Bancshares

South Carolina

Carolina First
First Federal of Charleston
Fort Sill National Bank
RBC Centura
SouthTrust Bank
Wachovia Corporation

Tennessee

Colonial Bank
First Tennessee National Bank
RBC Centura
SouthTrust Bank
Trustmark National

Texas

Union Planters Bank
Abrams Centre National Bank
Armed Forces Bank
BOK Financial
Union Planters Bank
Chase Bank of Texas
First National Bank of Texas
Texas Bank
Colonial Bank
Compass Bank
First Convenience Bank
Fort Sill National Bank
Frost Bank
Metro Bank
National American Bank
Southwest Bank of Texas
SouthTrust Bank
USAA Federal Savings
Wood creek Bank

Utah

Alpine Credit Union
Cyprus Credit Union
Davis Credit Union
Jordan Credit Union
Mountain America Credit Union
Southern Utah Federal Credit Union

Vermont

Bank of New Hampshire

Virginia

Acacia Federal Savings
Albemarle First Bank
Armed Forces Bank
Acacia Federal Savings Bank
RBC Centura
SouthTrust Bank
Wachovia Corporation

Washington

First Mutual
Harborstone Credit Union
Home Street Bank
Qualstar Credit Union
Seattle Talc Federal Credit Union
Timberland Bank
Washington Credit Union

Washington, D.C.

Adams National Bank

West Virginia

Advance Financial Savings
First Citizen’s Bank
Sky Bank

Wisconsin

Norwest Bank
Abbotsford State Bank
TCF Bank

Get on the net to find the banks website homepage and contact information.

The above list was compiled a few month’s ago, so it’s possible a particular bank may no longer accept an applicant showing up in ChexSystems due to a change in bank policy. You should be able to find other banks and credit unions by using a search term like non ChexSystems banks for example.