How does loan consolidation work?

Loan consolidation is a form of debt refinancing designed to put all of your multiple payment obligations into one smaller singular payment, rather than paying off many different accounts each month.

The benefits of loan consolidation:

• It’s an easier way of making loan payments, as it entails taking out one smaller loan to pay off multiple others
• Lower interest rates, or a fixed interest rate may be granted; reducing the amount you have to pay back
• Boost your credit rating; giving you a better chance to qualify for credit in the future, as well as qualify for lower interest rates

That being said, loan consolidation can be tricky and not many consumers qualify to be considered. To find out if loan consolidation is the right solution for you, contact us today! The process is quick and easy – we’ll contact financial institutions on your behalf and give our recommendations.

Allow us to assist you on your journey to a debt free life!

If, after we have reviewed your financial situation, we find loan consolidation a less favourable route for you, we’ll consider other avenues such as Finance Rescue or Debt Review. We will always provide you with the best suitable option for you and your situation.

At Debtline, we also know how frustrating it can be trying to find solutions on your own, which is why we handle all administrative tasks for you and provide you with a concise report detailing your options.