Overwhelmed by multiple debts from multiple lenders that you find it overwhelming to keep track of all your repayments dates or can’t access more funds (even when you clearly could) but because of the bad credit from multiple debts? Page Financials have a way out; it’s known as debt consolidation.
Before we get deeper into the topic, it is important that you understand how dangerous having multiple loans defaults is and the damaging effects it has on your credit rating. Lenders will not be willing to lend you money in the future if your credit report is riddled with payment defaults.
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Debt consolidation is used by consumers to pay off a small debt in one go by taking one big loan. By doing this they save on interest as well as the finance cost of the small loan owed by them. The borrower would now have to make one payment instead of making multiple payments to other creditors.
Debt consolidation can happen on debts which are not tied up to an asset. Education loan, amount owed on credit card, personal loan are some examples of unsecured loans which can come under debt consolidation.
Debt Consolidation Helps You To;
- Pay off multiple debts with a new loan and a single payment monthly which is better than maintaining multiple payments from multiple lenders
- Lower your overall monthly expenses and increase your cash flow
- Reduce stress with fewer bills to juggle
- Reach savings goals more quickly with any extra cash you save
- Lower your credit utilization ratio, which may help improve your credit score
3 Steps to Consolidating Your Debt – Hassle Free
Now that we are on the same page, there are steps that you can take when you want to consolidate your debt.
1. Make An Inventory of Your Current Debts
The first place to start would be to make a list of all your running loans, including the interest rate and monthly payment. This way you know how much debt in total you have and what offers best suites your consolidation strategy.
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Without a good understanding of where you are currently, you might get into another debt which could worsen your situation rather than become a relief.
Your debt consolidation option should be able to swallow your other debts and leave you with one debt, which becomes more convenient to manage.
2. Get Enlightened
If you decide debt consolidation is right for you, keep the following in mind:
- Debt consolidation isn’t debt elimination. You’re restructuring your debt, not eliminating it.
- Understand the costs. Consider the total cost of borrowing. A loan with a longer term may have a lower monthly payment, but it can also increase how much you pay over the life of the loan.
- Avoid unnecessary debt: Use good credit habits and create a budget to help control future spending.
3. Explore Your Debt Consolidation Options
Once you know your numbers, you can start looking for a new loan to cover the amount you owe on your existing debts.
If you’re approved for the loan, you’ll receive loan funds to use to pay off your existing debts, then you start making monthly payments on the new loan.
Page Financials is one of the leading financial houses that offers a fantastic personal loan option for debt consolidation. With this type of unsecured loan, your annual percentage rate (APR) will be based on the specific characteristics of your credit application including an evaluation of your credit history, the amount of credit requested and income verification.
Some lenders may have secured loan options which may offer a slightly lower interest rate, but keep in mind you are at risk of losing your collateral if you fail to repay the loan as agreed.
Page has an exceptional customer service that is available round the clock to help you complete your loan application. If your loan is approved, customers get funds disbursed the same day, giving Page an edge over other providers.
Consolidation isn’t a silver bullet for money problems. It doesn’t address excessive spending habits that create debt in the first place. It is however a financial tool that you can use to make managing your personal finance easier.
When consolidating, the partner you choose is equally as important as making the decision itself, choosing a wrong partner with hidden terms could further complicate things.
One of the fascinating things about transacting with Page is that there is transparency from the get go, and even after your loan is disbursed, transfer charges are FREE. You can send money to your other bank accounts or to friends and relatives or even business partners and colleagues, and you will not pay any charges on the transfers.
Also, customer service is available 24/7 to provide any assistance you may need as regards to getting a loan or accessing any other products Page offers.
Want to learn more about Page? Visit pagefinancials.com or call 017007243 to learn more and get started.