Debt consolidation guide - StepChange Debt Charity
Debt consolidation guide
Free, Impartial Debt Advice
StepChange Debt Charity Debt consolidation guide
Contents
Introduction How this guide will help you
3
Section 1
Debt consolidation loans
4
? Whatisdebtconsolidation? ? Isdebtconsolidationrightforyou? ? Securedandunsecureddebtconsolidation ? Canyouaffordadebtconsolidationloan? ? Afteradebtconsolidationloan
Section 2
Other debt solutions
7
? Debtmanagementplan ? Individualvoluntaryarrangement ? Debtrelief order ? Bankruptcy
Section 3
Our debt help
9
? Howwecanhelp ? HowtocontactStepChangeDebtCharity
StepChange Debt Charity Debt consolidation guide
Introduction
How this guide will help you
AtStepChangeDebtCharity,wehelppeople withproblemdebtbygivingfree,impartial debthelp.
Althoughdebtconsolidationcompaniesoften promotetheirservicesasthebestwaytomanage debts,therearemanydifferentwaystogetoutof financialdifficulty,anddebtconsolidationisnot alwaysthebestsolutionforeveryone.
Thisguideexplains:
?Whatdebtconsolidationis ?If consolidationisrightforyou ?Whatothersolutionsareavailable ?Howwecanhelpwithyourdebtproblem ?howyoucancontactus
Asthisguidewillexplain,youmustalwaysthink carefullybeforetakingoutadebtconsolationloan,as itcouldmakeyoursituationworseratherthanbetter.
Formoreadviceaboutyourdebtproblem,contactus, oruseouronlineStepChangeDebtRemedytool.
Free anonymous debt advice
FreedebthelponlinefromStepChangeDebt Charityat
3
StepChange Debt Charity Debt consolidation guide
Debt consolidation loans
What is debt consolidation?
Debtconsolidationisthenameforaloan thatyouusetopayoffallyourother unsecureddebts.
Adebtconsolidationloancanbetakenouttopay debtssuchascreditcardsandstorecards, cataloguesandpersonalloans.
Takingoutadebtconsolidationloanmeansthat youwillonlyhavetomakeonemonthlypayment ratherthanseveralmonthlypaymentstocoveryour debts.Thiscanmakeiteasierforyoutomanageyour financesand,intheory,makeskeepingupwithyour paymentssimpler.
Debtconsolidationisnotthebestsolutionfor everyone.Takingoutadebtconsolidationloancould leaveyouinaworsefinancialsituationthanyouare currentlyin.Pleasethinkcarefullybeforetakingout adebtconsolidationloan.
Is debt consolidation right for you?
Althoughdebtconsolidationcanhelpsome people,forothers,itcancreateevenbigger debtproblems.
Formanypeople,paymentstoadebtconsolidation loancanworkoutmoreexpensive.
Higherinterestrates
Itisimportanttorememberthatif youhavedebt,orif youhavemissedpaymentsonyourdebts,thiswill haveaffectedyourcreditrating.Youwillusuallyfind thattheonlywayyoucanborrowmoremoneyisata higherinterestrate.If youhavetoborrowmoneyata higherinterestrateyouwillpaymoremoneyback overthelifetime(orterm)of theloan.
Biggermonthlypaymentsandlongerloans
Youmayhavetomakealargepaymenttoyourdebt consolidationloaneachmonth,oryoucouldfindthat youarepayingthemoneybackforalongperiod.
If you'reapplyingforanykindof loanyoushould alwayscheckhowmuchthepaymentsareeach month,andhowmanypaymentsyouwillneedto makeoverthelifetimeof theloan.
Debtconsolidationfees
Somedebtconsolidationloancompaniescharge arrangementfeesandthesewillbeaddedtothe moneyyouareborrowing,thereforeincreasingthe amountandpossiblythetermof yourloan.
If youarethinkingabouttakingoutadebt consolidationloanitisveryimportantthatyou considerallof thesethings,andcarefullycheckthe termsandconditions.
TheGovernmentandtheMoneyAdviceServicehave moreinformationaboutdebtconsolidationloanson theirwebsites..uk or .uk
4
StepChange Debt Charity Debt consolidation guide
Debt consolidation loans
Secured and unsecured debt consolidation
Therearetwotypesof debtconsolidation loans?securedandunsecured.
Securedandunsecuredloanshavedifferent consequencesforyourfinancesanditisvery importantthatyouunderstandthedifferences betweenthetwo.
Securedloans
Asecuredloaniswhenadebtissecuredagainst yourproperty.Takingoutasecuredloanislike takingoutanothermortgage.If youcannotpaythe loanback,theloancompanycansellyourproperty. Wewouldneverrecommendthatyoutakeouta securedloantopaybackyourunsecureddebts.
Asecuredloanisusuallycheaperthananunsecured loan,becauselendersknowthattheycansellyour assetsif youdonotpaythemoneyback.Asthereis lessrisktolenders,theyareusuallyabletooffer lowerinterestratesforsecuredloans.
Butasecuredloanismuchmoreriskyforyou.You neverknowhowyourcircumstancesmightchangein thefutureandyoucouldbeputtingyourhomeatrisk withasecuredloan.
Unsecuredloans
Anunsecuredloanisalsoknownasapersonalloan. If you'restrugglingwithyourfinancesandyoudon't keepupwithyourrepayments,yourcreditratingwill beaffected,buttheloancompanywillnotbeableto repossessyourhome.
Inthesecircumstances,youmaybeabletoreachan agreementwiththelenderforthemtoacceptlower paymentsorrefinanceyourloanoveralongerperiod. Formoreadviceaboutconsolidationloansand
informationonotherwaysof dealingwithyourdebt problems,pleasecontactus,oruseouronline StepChangeDebtRemedytool.
Free anonymous debt advice
FreedebthelponlinefromStepChangeDebt Charityat
5
................
................
In order to avoid copyright disputes, this page is only a partial summary.
To fulfill the demand for quickly locating and searching documents.
It is intelligent file search solution for home and business.
Related searches
- best christian debt consolidation company
- crossroads debt consolidation phone number
- sallie mae debt consolidation reviews
- crossroads debt consolidation my account
- free debt consolidation programs
- debt consolidation programs non profit
- debt consolidation for senior citizens
- debt consolidation loans
- wells fargo debt consolidation loan
- debt consolidation loans for bad credit
- wells fargo debt consolidation programs
- low interest debt consolidation loans