THE ADVANTAGES OF CONSOLIDATION

1. Credit rating not effected

Consolidation simply means that you are paying off a number of loans with one larger one. As such, non of the older debt agreements are being broken and your credit rating will not be negatively effected in any way.  

2. Monthly payments reduced to affordable amount

The monthly payment amount of the consolidation loan will be smaller than the sum of the payments of the old consolidated loans. This is particularly the case with secured loans which are paid over a much longer period than unsecured loans.

3. Fast Implementation 

A loan can generally be arranged swiftly meaning that monthly payments can be reduced fast meaning you get your finances back under control swiftly. 

Where to start

• Choose the solution – Use the “Which way should I turn” form to get your FREE DEBT REPORT
• Ask the experts – use the Beat My Debt Forum
• Call us now – speak to one of our advisors in confidence to see if consolidation is right for you.

Take the first step to beating your debt NOW – Call us free on 0800 077 6180

THE DISADVANTAGES OF CONSOLIDATION

1. Overall debt increased

If you borrow money to consolidate debts, you will be charged interest on the new loan. As such, it is likely that your overall debt will increase.

2. Mortgage secured against your home

A mortgage or secured loan will be secured against your home. This means that if you find yourself unable to repay the loan in the future, your house wil be at risk of repossession.

3. Spending habits don't have to change

Taking a loan does not force a change in spending habits. Therefore it is easy to continue to use other forms of credit such as credit cards and get into trouble again.