Consolidation Experts

What is a debt consolidation loan?

If multiple expenses are coming out at the end of the month, such as credit card bills and personal loan repayments – and your situation is quickly becoming unmanageable – debt consolidation could help regain control of your finances.

When you apply for a consolidation loan, you request an amount which is equal to – or just exceeds – the total amount owed. If approved, you use the funds provided to repay your creditors one by one. 
This means all those monthly payments should now be a thing of the past. You’re left with repaying just one monthly sum to the consolidation loan provider.

Debt consolidation – pros and cons

  • With debt consolidation, the amount you owe is still the same. It does, however, carry several benefits:
  • Having one monthly payment (instead of several) is much easier to manage.
  • With a consolidation loan, the amount you repay each month should be less than what you are currently paying. Therefore, you may have more cash left over at the end of the month.
  • Repaying all your creditors, and fulfilling your monthly payments, can ultimately do wonders for your credit score.
  • Debt consolidation loans also typically have lower interest rates than those offered by payday loan and credit card providers.
    However, as with all financial products, debt consolidation loans do have some disadvantages. For example:
    Fundamentally, this is still a loan. If you don’t make the repayments, your credit score may be affected. Furthermore, if you continue to not fulfil your responsibilities, you may face legal action – possibly in the form of bailiffs.
  • If your debt consolidation loan is ‘secured’, missing payments may also put your home, car, or other assets at risk.
    Although some debt solutions write off what you owe or tie you into a lengthy contract, this generally isn’t the case with a consolidation loan. This option allows you to repay what you owe on your terms. If you choose to apply through us, we’ll strive to make sure that you’re getting the best deal possible.
What is a debt consolidation loan

Unsecured debt consolidation

Unsecured debt consolidation is generally the most common version of this debt solution. It’s not secured against an asset and you just need to make the monthly repayments. However, it’s worth noting that non-repayment can still result in legal action – and will likely damage your credit score.

What can I consolidate?

Generally, a debt consolidation loan can help you resolve all forms of unsecured debt. However, most commonly, these solutions are used to cover:

  • Personal loans
  • Overdrafts
  • Credit cards
  • Store cards
  • Payday loans

 

How do I get a consolidation loan?

Getting a consolidation loan is, fortunately, quite straightforward. Complete our short online application and we’ll be able to determine if this solution is right for you. Should your application be approved, you could have the funds you need in a matter of hours. 

Regain control of your finances – contact us today

Regain control of your finances – contact us today

We want to help you live the life you deserve, free from debt. Together, we can make this dream a reality. See if you qualify for debt consolidation and combine all your debts into one affordable monthly payment. If your application is successful, you could have the funds you need in the next 24 hours. 

If your application is successful, you could have the funds you need in the next 24 hours.

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