Struggling with credit card bills, student loans, or other obligations? Waiting only makes balances bigger and stress worse. Get a tailored plan to regain control and start making real progress.
One Low Monthly Payment
Reduce Multiple Payments to One
Debt Free in 24-48 Months
100% Free Consultation
Free Savings Estimate with No Obligation
You Could Be Debt-Free in as Little as 24-48 Months
Free, no-obligation debt analysis
No credit score minimum
Lower, more affordable monthly payments
Joint loans available
Low credit requirement
Direct payment to creditors
Offers free credit monitoring
Flexible payments
Prequalification with no impact on credit
What is debt consolidation?
Debt consolidation generally refers to the process of combining multiple debts into a single low monthly payment, often with the goal of getting out of debt faster and reducing your payment amount. There are many options for companies that can help you consolidate your debt.
Some companies may also focus on helping you get your credit under control, pay off debt faster, reduce your monthly payments, and avoid bankruptcy
Pros and cons of debt consolidation
Seeking debt consolidation through a third-party company can be a great option if you’re deep in debt. Weigh the pros and cons of debt consolidation before making a decision.
Pros
- Get out of debt faster: Most plans can be completed in four years or less.
- Simplify your debt: Replacing multiple payments with one payment plan makes it easier to manage your budget.
- Avoid bankruptcy: Debt consolidation can help you get out of debt without needing to declare bankruptcy.
Cons
- Most companies require you to have at least $7,500 in unsecured debt.
- Cannot help with tax debt, mortgages, or federal student loans.
- Not every company operates in every state.
How to apply for debt consolidation
Understanding the application steps can help improve your odds of getting the type of relief you need.
1. Determine which debts to include: You don’t have to add all of your credit accounts to a debt consolidation plan. Be careful not to continue to spend too much on credit cards to avoid going into debt again after the balances have been consolidated.
2. Decide which type of debt consolidation is best for you: Select the realistic option for your income and budget. Debt consolidation is typically best if you’re behind on payments and can’t bring them current, or if you are struggling to stay current and could benefit from a lower monthly payment amount.
3. Learn the eligibility requirements for each program: Many debt consolidation companies require you to have at least $7,500 of unsecured debt to qualify.
4. Know what documents you’ll need: You should have copies of current statements for all debts you plan to pay off. You may also need proof of income, such as pay stubs or W-2s, or other forms of income like unemployment benefits or social security income.
5. Fill out an application: Applying for debt consolidation may be a more involved process than getting a loan. The debt consolidation company may need you to help get contact information for each creditor or provide updated pay stubs and personal documents as needed. However, some companies like National Debt Relief allow you to start your application online and get approved in minutes.
Frequently asked questions
Take Control of Your Finances
From consolidation to bankruptcy, debt solutions are not one size fits all. Set yourself up for success by choosing a program that works for your financial situation and goals. Remember, debt consolidation takes time and works best if you practice healthy financial habits to avoid additional debt in the future. It’s ok to seek help from a reputable company when needed. If you choose this service, make sure you feel comfortable with the debt consolidation company, understand its terms of service and aren’t paying significant upfront fees.
