Perfect Conditions

Secure Operations

Amazing Programs

Bank-credits.biz

Categories

    Array

Are debt consolidation loans a good idea

are debt consolidation loans a good idea

Purpose

Debt consolidation loans are obviously designed to consolidate all of your debt under one loan so you will only have to keep track of one payment each month. This is also intended to place high-interest credit card debt under a lower interest rate so you will end up paying less in the long run. Many people use home equity loans for this purpose so they can also deduct the interest from their income taxes---something you cannot do with most other types of debt.

Warning

The problem with debt consolidation, however, is that you are taking a number of unsecured debts and putting them into a secured loan. This means that, if your financial situation worsens, you lose your job or you have a major medical expense, you will still be responsible for paying the consolidated debt---even if you file for bankruptcy. If you have used a home equity loan to consolidate your debt and are later unable to pay, you could lose your home.

Bankruptcy

Bankruptcy stays on your credit report for at least 10 years post-discharge. This can greatly complicate your ability to obtain credit at a reasonable interest rate, and a bad credit score can increase your car insurance rates no matter how well you drive and how few accidents you have had in your lifetime. This is why many people choose to consolidate their debt rather than file for bankruptcy.

More Like This

You May Also Like

Are Debt Consolidation Loans a Good Idea? Debt consolidation has a number of advantages for consumers trying to get a handle on.

Whether or not a bill consolidation program or loan will be good for you depends on a number of factors. All types.

Many companies and lenders offer consolidation programs. When it comes to student loans, the primary source of consolidation options is the federal.

Is Bill Consolidation a Good Idea. Part of the series: Credit & Loans. Bill consolidation can be a good idea in that.

Is Credit Card Consolidation a Good Idea. Credit

card consolidation means that a person combines several credit card. Are Debt Consolidation.

A December 10, 2009, Bankrate.com article contends that 70 percent of people who deal with debt by consolidation loans wind up in.

Are Debt Consolidation Loans a Good Idea? Debt consolidation has a number of advantages for consumers trying to get a handle on.

Debt Consolidation Tips: Credit Card Offers. It is a very good idea if you have credit that's available and the credit.

Reconsolidating debt may be a good idea if a lender meets specific conditions and the terms of the refinancing scheme are advantageous.

. a debt consolidation agency or salesperson may come around and offer a borrower the opportunity to discharge his car loans with.

Are Student Loans a Good Idea. Student loans may be the only choice for many college students. Are Debt Consolidation Loans.

What Are Bill Consolidation Loans. Is Bill Consolidation a Good Idea? Featured. 6 Ways to Travel on the Cheap. Read Article.

Many banks, credit counseling agencies and private companies offer credit consolidation. However, it is a good idea to be sure of the.

Debt consolidation is not a one-size-fits-all solution to your debt problems. While some people may benefit from a well-chosen debt consolidation loan.

Good idea on combining school loans! Analana - Jan 14, 2009. Thanks for this thorough article. Consolidating student loans can help.

Are Secured Credit Cards a Good Idea. loans and other credit accounts. Secured cards also offer the convenience of making online.

Is Consolidating Student Loans a Good Idea? Student loans operate under certain rules. Among other things.

Guidelines for Bill Consolidation. You could take out a home-equity loan or a home equity line of credit to gain access.

Are Debt Consolidation Loans a Good Idea? Debt consolidation has a number of advantages for consumers trying to get a handle on.

Cheap Christmas Present Ideas for Men;. When someone is getting a loan to pay off their bills, the process is referred.

Category: Bank

Similar articles: