This debt-relief option untangles the mess consumers face every month trying to keep up with multiple bills from multiple card companies and multiple deadlines.
Instead, there is one payment to one source, once a month. There are two major forms of debt consolidation – taking out a loan or signing up for a debt management program that doesn’t include a loan.
Add the bills and determine how much you can afford to pay each month on them.
Your goal should be to eliminate debt in a 3-to-5 year window.
The first step is to list the amount owed on your monthly unsecured bills.The chase to catch up with your bills will never end.Putting the credit card away would be a first step, but not the only one you need to consider before deciding that debt consolidation is your financial savior.The repayment period is normally 3-5 years, but how much you interest you are charged is the key element.Lenders look closely at your credit score when determining the interest rate they charge for a debt consolidation loan.