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Some words about DEBTs...

How can you benefit from debt consolidation?

It seems that practically every day we are being bombarded with offers of credit in some form or another. From phone calls and letters to flyers and e-mails, credit companies use a variety of ways to tempt consumers into taking out yet another loan or credit card to add to their existing ones – and all too often this leads to massive problems for the consumer.

As the number of loans and credit cards pile up, you can quickly lose control over your outgoings. Before long you may start finding it impossible to make ends meet each month, resulting in missed and late repayments on loans, credit cards, even your mortgage and bills. And this is where the trouble really starts, as creditors begin to threaten you with court action, defaults are logged against your credit report, and even the threat of bankruptcy can loom.

 

If you have a number of loans and credit cards, there is a way to resolve this issue before it gets out of hand. Debt consolidation has become a very popular means of reducing monthly repayments, enabling consumers to get on with their lives without letting their finances take control. With a debt consolidation loan, all of your existing credit – store cards, credit cards, loans, and even catalogue and hire purchase balances – can be rolled into one larger, better value loans.

 

There are a number of benefits with debt consolidation. Firstly, you can save a small fortune each month, leaving you with more income with which to keep up on repayments on your mortgage or pay your bills. The lower payment on your consolidation loan also makes it easier to make repayments on your borrowing compared to the high monthly repayments you are making on a number of separate loans and cards.

 

When you use a debt consolidation loan to pay off all of your other loans and debts, you also benefit from one convenient repayment each month rather than several, making the loan easier to manage. Plus, you can leave yourself with more disposable income each month, improving your quality of life.