consolidate debt

Consolidate Debt and Pay Less Every Month!

Should you consolidate debt into one smaller monthly payment before interest rates go back up? That's a question many are asking themselves these days, as interest rates for debt consolidated loans have hit all time lows.

There are many factors to consider when you consolidate debt. For instance if you consolidate debt on credit cards, you may not be eligible to chargeback certain purchases or dispute an amount to be paid on your current balance. When consolidating your debt, debt management and debt reduction are two factors.

However, the risks you take when you consolidate debt are in most cases better than paying outrageous interest charges on high interest credit cards. Here are some tips to keep in mind when you consolidate your debt:

1. Make sure that any disputed payments, such as defective merchandise or incorrect charges are not consolidated with your other debt. Keep disputed amounts separate until they can be investigated fully.
   
2. Don't consolidate debt by getting a new low interest credit card. Unless you have tremendous willpower it may be difficult not to charge things on the cards you consolidate. If you do use a low interest credit card to consolidate balances, close all other credit card accounts and cut up the cards that go with them.
   
3. Do check for the best rates. Debt consolidated loans can vary widely in their terms and interest rates. Don't get stuck paying more than you already do.
   
4. Do continue to pay the minimum monthly balance on your credit card until the consolidation loan is completed. This keeps your credit intact or at least doesn't make it any worse while you are trying to fix things.

To consolidate your debt properly, we recommend filling out approval applications for several banks and institutions so you can get the best rate and terms possible. We've listed our best picks for consolidation loans below that have an established reputation for saving thousands of families money month after month.

Once you've filled out the applications, gotten your loan and consolidated your debt, take a deep breath and keep those credit cards in your wallet for awhile. You'll find the money you'll save each month will be well worth the extra willpower!

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