If you owe money to numerous lenders or if you are carrying high balances on several credit cards, you may want to consider applying for a debt consolidation loan. In addition to the possibility of securing lower interest rates and more convenient loan terms, you may also end up lowering your monthly payments significantly. Add to that, the benefit and simplicity of having to make just one loan payment every month.
Some of the advantages of debt consolidation include:
It is critical that you read the fine print,
however, before signing up for a debt consolidation loan and ensure you
don't end up paying more than what you currently owe. Create a
comprehensive spreadsheet to calculate the advantages and disadvantages
of consolidating your debt.
Based on some detailed number crunching you should make sure it is in your interest to apply for a debt consolidation loan. Another caveat -- once you apply for a debt consolidation loan, create a comprehensive plan to repay the debt in as short a duration of time as possible to avoid ballooning your debts even further
As with personal loans, debt consolidation loans also come under classic secured and unsecured varieties where a secured loan is backed by collateral, whereas an unsecured debt consolidation loan is not backed by any collateral.
If you are not sure where to start, Loans.net has assembled a solid network of lenders. Complete one simple application and we'll get you in touch with these lenders.
By completing our online application form, you will be receiving within minutes multiple offers from our network of lenders. Here at Loans.net, our lenders do their best to provide the best terms and the lowest rate to compete for your business. Compare quotes to find the best offer to suit your needs.Click here to compare and choose your debt consolidation loan