Will Debt Consolidation Save You Money?

If you have many different debts with different interest rates,  payoff schedules, and balances, it may sound like a good idea to sign up  for debt consolidation.

Debt consolidation can seem appealing with the promise of a significantly lower monthly payment and a reduced interest rate.

Debt consolidation is the process of combining all of your debts into one single debt.

What Is Debt Consolidation?

Debt consolidation does this by paying off your balance in full with  another loan and restructures your debt that you will repay to another  lender.

How Does Debt Consolidation Work?

Depending on your outstanding debt, you may be able to transfer all of  your outstanding debt to a 0% interest credit card if the card limit is  high enough.

Zero Percent (0%) Interest Cards

Another method to utilize debt consolidation is to contact a lender, usually a bank, and request a private loan.

Private Loan To Consolidate Debt

Many debt consolidation companies will handle all of the paperwork, refinancing, and debt payoffs for you as well.

Debt Consolidation Companies

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