Here is a useful guide to Debt Consolidation Loans. A Debt consolidation loan is a loan used to repay several other loans. A Debt Consolidation Loan is a low cost loan secured on your home. It frees up
spare capital (equity) in your home to repay your store card and other debts. It can reduce both your interest costs and your monthly repayments, putting you back in control of your life. Are you tired of always having to balance lots of payments at
end of each month? Want a solution that will give you
chance to not only pay less each month but also manage them all in one simple payment?
Debt Consolidation loans can give you a fresh start, allowing you to consolidate all of your loans into one - giving you one easy to manage payment, and in most cases, at a lower rate of interest.
A debt consolidation loan is a single loan that can be used to pay off multiple existing debts. These debts may have been incurred through personal loans, credit cards, overdrafts, or may represent any number of unpaid bills that have built up over time.
As
name suggests, a debt consolidation loan takes
group of debts that you owe, and consolidates them into one. This would mean that you only have one monthly payment.
Since
Debt Consolidation loan can be paid off over a longer time period, your individual monthly instalments would also be reduced.
If you find you have several monthly payments on a number of different loans you can make things easier for yourself by bringing them all together and taking out one single loan to pay off
total debt.
With a Debt Consolidation Loan you can borrow from £5,000 to £75,000 and up to 125% of your property value in some cases. Debt consolidation usually reduces
borrower's monthly payments by lowering
interest rate or extending
repayment period or sometimes both.