It is very tempting to hire a “professional” to help you get a debt consolidation loan. In most cases that’s not necessary. You can go to the bank yourself, and bring proof of your income and a list of your debts, and qualify for a loan without any help.
Debt and credit consultants often promise to help you deal with your debts, and even pay off your debts for only a few cents on the dollar. They will offer a debt settlement program, which they will tell you is better than a debt consolidation loan, to repay your debts faster.
It sounds like a good deal, but often debt consultants are scams, and they are not a good alternative to a debt consolidation loan.
They will charge a large fee, up front, and then they accumulate money until they have enough to propose a settlement. Unfortunately that can take many months, or even years, before they have enough to make a settlement. While you are waiting for the settlement to happen the creditors will still be calling you, and they may even sue you.
You have options, including a debt consolidation loan, a Chapter 13 Wage Earner Plan, and a consumer proposal. You can even file bankruptcy in Canada, or Chapter 7 Bankruptcy in the USA. Consult an expert today and review your options.
High interest rates on credit cards are becoming a serious problems. When the economy goes bad, credit card companies do more detailed regular credit checks on their customers, and at the first sign of trouble they will often raise the interest rates without warning.
That’s a big shock: everything was going well, and you were managing to meet your payments at 11% interest, and then all of a sudden the interest rate jumps to 22%, and you can’t even afford the minimum payments. What should you do?
First, talk to your credit card company. Perhaps they will agree to lower your interest rate, or convert your card into a loan with fixed terms of repayment, at a lower interest rate.
Second, talk to your bank about getting a debt consolidation loan. Use our free debt consolidation loan calculator to determine how much you can save.
Finally, if that doesn’t work, you may need to consider a consumer proposal as a way to consolidate your debts. You have options, so review your options now to keep your interest rates low.
A debt consolidation loan is a great way to reduce your costs of borrowing. If you can arrange a line of credit or loan at the bank at a low interest rate, and use that money to repay your high interest credit cards, a debt consolidation loan is a great way to save on the interest you are paying, and help you get out of debt faster.
In most cases the cheapest possible interest rate is on a secured loan, such as a mortgage. The bank or mortgage lender knows that if you don’t pay they can take your house. They are “secured”, so they have less risk, so they are willing to give you a cheaper interest rate.
That’s why many people arrange for a mortgage debt consolidation loan or a home equity debt consolidation loan to repay lower their cost of borrowing.
Beware! By getting a secured loan, you have now put a charge against your house. If you don’t make your loan payments, you will lose your house! A secured loan is a great way to reduce your interest costs, but only get a secured loan if you are absolutely certain that you will be able to make all required payments.
Yes, it is possible to become debt free. A debt consolidation loan is one way to repay your debts over a period of time. But there are other options.
This debt consolidation loans information site was created to provide information about debt consolidation loans, and other alternatives for dealing with debt. That’s why we include a free debt consolidation loan calculator. Every day our editors receive e-mails and comments with suggestions. We research all of them, and we constantly keep our eyes open for new and better ways to deal with debts.
During our research we discovered the remarkable story of Clint Holland.
He discovered that it is possible to become debt free without filing for bankruptcy, or sneaking out of paying your bills, or living on macaroni and cheese for the next 5 years, or doing anything illegal or immoral. Here is a remarkable story:
My name is Clint Holland and the first thing you should know about me is I am not a credit expert or some kind of financial egghead. I’m just an ordinary, average guy that ended up deep in $213,000 of debt and found a 100% guaranteed and proven way to get out faster than any method currently taught. Plus, it works regardless of where you live and is not dependent upon your income. Not long ago …
I was scared I was going to lose one of my cars or my home. Things were tight and times were tough money wise. The pressure was eating away at my health and it took its toll on my family. I was convinced I had to do something to get this monkey off our back. As you can imagine …
I was buying all sorts of books and courses that promised me a way to get out of debt, but most of it was junk or stuff that was too hard to do. Some of it was good. Anyways, I ended up stumbling upon a ridiculously simple technique one day that came from a military strategy concept – and so I tried it on my mountain of debt. Guess what?
It worked!
I know this sounds crazy, but with your permission I’ll prove it’s 100% true. It’s so true that I became free from that terrible $213,000 mountain of debt in just 5 years! And let me tell you, life is good now. No more creditors calling me or mailing me nasty letters to pay my bills. Plus, I have more spending money to do what I want, when I want. And you know what?
I didn’t go out and get a second job or increase my income to do it. I didn’t even get a loan or any other such nonsense you’re commonly told to do.
And yet, my system is guaranteed to make you 100% debt free faster than anything on the market. That includes your mortgage, credit card, automobiles – whatever!
There are options, so research your options today!
The entire world is in a recession. The credit crisis of 2008 has led to reduced credit in 2009, and on into 2010. Banks lost money, so now they don’t want to make any new debt consolidation loans unless the borrower has perfect credit. Of course if you had perfect credit, you would not need a debt consolidation loan!
Is it possible to get a consolidation loan in these difficult times? Yes, it is, but you need to be smart and work a little extra hard.
First, be prepared. Before you go to the bank, get copies of last year’s tax return, recent pay stubs, and statements from all of the credit cards and other debts you want to consolidate.
Next, check your credit report to make sure it’s correct. If there are errors, get them corrected before you apply for your loan.
Third, ask your friends where they have recently obtained loans. They may be able to refer you to a specific loan officer who will be easier to deal with.
By taking these simple steps you are more likely to be successful. If you don’t get the loan, ask what you need to qualify again in the future. Perhaps if your income is a bit higher, or if you have a co-signer, you are more likely to qualify.
Good luck!