I have 4 credit cards that equal $25,000 in debt, should I get a consolidation loan to clear debt?
Question:
Answer:
First you should get a clue. How do you get that much debt?
Actually you should pay them down before you use them again.
lol
Yes and cut them up
I am debt free and don't purchase anything that I cannot buy with cash.
my answer to your question is no, simply because it will look as though you can't handle your responsibilities and will reflect badly on your credit report. all you need to do ( if you can) is pay a lot more than the minimum balance and you should be fine.
Don't take out an equity loan on your house. You could risk losing your house over debt for items you may not even have anymore.
First you must stop buying things. Right now. stop. It's not easy, but you must do that.
Think about getting a second job to help pay off the debt. Pay off the card with the highest interest rate first.
Good luck. Treat it like a challenge and bring it down and keep it down. Your life will feel so much better without all that debt.
I had the same issue a few years ago after being laid off for almost a year. I consolidated my debt with a personal loan with a lower interest rate, over 5 years. It basically locks in a payment for you and gives you light at the end of the tunnel. When I consolidated my debt, I worked out a budget and have been very strict with myself when it comes to spending and saving money.
I wouldn't recommend settling your debt with one of those non-profit companies...it will ruin your credit just as bad as filing for bankruptcy. Also, you have to be pretty far behind in payments to get them to consider helping you.
Good luck!!
If you own a home do it. if not most people with more than $10,000 in debt do get a better rate by consolidating. Contact you local government offices to find info on debt releif organizations. good luck
I don't know how old you are or what your credit rating looks like but might I suggest you find a good home lender find a decent place to settle down and have your home mortgage compensate for your credit debt. For instance find a small range two to three bedroom place and have a personal loan operator do most of the work for you; based on the square footage of your house he/she can find an out of state loan operation that will use their cost for housing in their jurisdiction as a source for the loan. So obviously you would want a west coast (higher property value) loan operation to get what you want. Low cost for housing, high appraisil, fit all your debts into one loan with your house, and if need be, rent it out or sell it on land contract. Fine American business of bending numbers and making the big people work for the little people.
Plenty of good advice here.
If you can get a consolidation loan absolutely . The interest rate you are paying has got to be phenomenal- ouch . Do it today friend .
I hope the two articles in my resources box might help answer some of your questions. Take a look and Good luck!
yes, you should. read the following articles to gain an insight:
Debt Consolidation - Get Out Of Debt
http://www.askaquery.com/answers/qn1643.
How to Hire a Debt Counselor?
http://www.askaquery.com/answers/qn1584.
What is Debt Relief?
http://www.askaquery.com/answers/qn1583.
Debt Management and Building Wealth
http://www.askaquery.com/answers/qn1581...
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