How to Decide if Debt Consolidation is Right for You

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Financial Guide: Is Debt Consolidation Right for You?

What Is Debt Consolidation?

When Debt Consolidation Might Be Right for You

1. You’re Paying High-Interest Rates
   If your credit cards or other debts have high-interest rates, consolidating them into a lower-rate loan can save you money.
2. You Struggle to Keep Up with Payments
   Managing several due dates can be stressful. Consolidation simplifies your finances with just one payment each month.
3. You Have a Steady Income
   You’ll need a reliable income to qualify for a consolidation loan, showing lenders you can handle the payments.
4. You’re Committed to Avoiding New Debt
   Consolidation works best when paired with disciplined financial habits. It’s important to avoid racking up new debt after consolidating.
   
   Schedule a Consultation now

When Debt Consolidation Might Not Be Right for You

1. Your Debt Is Minimal
   If your debt is small enough to pay off quickly, you may not need a consolidation loan.
   
   Learn about other debt repayment strategies
   
   
2. You Have Poor Credit
   Low credit scores may prevent you from securing a loan with favorable terms. Focusing on
   improving your credit might be a better first step.
   
   Learn more about our credit building resources
   
   
3. You’re Not Ready for a Budget
   Without a solid plan to manage your finances, consolidation might only provide temporary relief.