The times are so uncertain that people need a trustworthy and established name to be able to put their trust in. Bank of America or BOA is one such name. It has been there for years in the financial market of the US. With several financial institutions coming up with “antidotes”, packages to help the customers overcome their financial problems and keep the cash flow going fine, BOA has also come up with a package called the “Clean Sweep line of credit”. debt_loan_credit1This one is for those customers that need debt consolidation. With banks, however trustworthy and famous they may be, crumbling down; it is important to take proper precautions before closing any deal. While there may be several benefits to the different financial packages offered, you should always be on your look out for any hidden clauses in your contract.

You might not have noticed them initially because they are trickily placed and some technical terms are also difficult to understand. Most often, these are written down in the fine print at the bottom of the page where you would not even care to read. The result will be your pocket becoming lighter and your problems becoming heavier.

The same is true for the “Clean Sweep” plan. You should take extra care while you go in to make the deal because if you put a careful thought and study it properly then you will realise that instead of helping you, this clean sweep in fact buries you so deep in debts that it might become close to impossible for you to pay it back fully.

The hidden dirt

You can get credit on a variable rate of interest, which depends upon your credit. Now, depending on how desperate you are, your interest rate will go high and actually, it can go to as much as 25.49% Now that is some rate!

You can approach this bank for an advance if you want to. However, every time you do so, you are charged with fees and the rate is 3%. Besides that, when you do take the advance, the payment terms get restarted.

You can see in the adverts that they offer up to $25,000 in loan. In addition, they also offer interest rates as low as 9.49%. However, we know that interest rates depend upon credit and hence they will never stay on that level. Therefore, while we can be assured that the minimum is 9.49%, we can never be sure of the maximum.

The brighter side

While there are some clear hidden clauses, the truth is that is does have some advantages. It requires no collateral and you are told about the decision with 15 minutes of the time when you first contact them. Besides that, they offer zero prepayment penalties.

All you need to do is be cautious before closing any deal.