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Debt Consolidation Loans in Canada, Consolidate Your Debt #bridging #loans

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Debt Consolidation

Debt Consolidation

When we take stock of our finances, it can be easy for our debts to overwhelm us. We see our credit card balances and other consumer debts, and we can feel as if there is no hope that we will ever pay off our creditors. Those living with the burden of debt often experience fear, anger, frustration and even depression. Entire families suffer from the effects of heavy debt as worry and resentment cause loved ones to withdraw from each other. These problems are real, but consumers are fortunate to have many options that make getting out of debt a real possibility. Debt consolidation loans are one option that allow debtors to pay off their consumer debt with single affordable monthly payments.

Debt Consolidation Loans Canada

When it comes to debt consolidation Canada is seeing increasing numbers of its residents looking for a way to reduce the number and amount of monthly debt payments. Debt consolidation loans involve combining several high-interest loans or debts into a single debt with a lower interest rate. A debt consolidation program works to simplify life for the consumer by replacing a number of bills with one lower monthly payment. For example, a consumer with four credit card bills can get a debt consolidation loan to pay off the credit cards, resulting in one payment, rather than four.

Advantages of Debt Consolidation Loans Include:

  • One monthly payment. The fact that you are left with one payment means that you no longer have to worry about sending payments to several different banks and creditors. Having multiple payments increases the odds that you will forget to pay a creditor, and missing a payment can impact your credit negatively. It is far easier to pay one payment each month, and it is unlikely that you will forget to pay the one consolidation loan.
  • Lower interest rates. A debt consolidation company will typically charge a lower rate than credit companies charge. If this is the case, the debt consolidation loan will reduce interest payments and help eliminate credit card debt completely. This frees up more money each month that you can use for other expenses or to pay extra toward your loan principal.
  • Lower monthly payments. Consumers are generally offered the option of a longer repayment period, which will lower monthly payments. The consumer no longer needs to spend all monthly income on debt repayment, a great incentive to consolidate debt.
  • Prompt payment to creditors. All creditors will be paid quickly, reducing the chance of damage to the consumer’s credit rating. Following the terms of the consolidation plan and making timely payments will further protect your credit rating and in some cases may actually help improve it.
  • Reduction of pressure from creditors. A debt consolidation program will end telephone calls to the consumer from various creditors seeking payment as from their perspective the debt has been paid.
  • Simplification of the household budget. With only one payment to manage, much of the stress of household budget management is relieved.

An online debt consolidation company will tell you if consolidation is the best course of action. Certain types of debt are eligible for consolidation, including credit card debt. consumer loans and public utility debts. People seeking to consolidate debt may not include mortgage debt in consolidation programs. Consumers looking to lessen their financial burden should draw up list of current debts to calculate total debt. A trained credit counsellor will effectively determine if consolidation of debts will be of benefit in each particular case. The consumer can compare monthly payments with and without a consolidation program.

Are There Disadvantages to Consolidation Loans?

Canadian debt consolidation is probably the most common debt solution for anybody thinking of getting out of debt. And although it is far better to consolidate loans than it is to continue paying many different creditors, consolidation loans are not necessarily the best option for retiring your debt. Many people who go down this route end up with more debt than they had to begin with. This is because you do not lower the principal you owe when you consolidate your loans. The interest rate is lower, but after consolidation, you will still have to pay off the total amount you owed before you consolidated your loans.

Consequently, debt consolidation may not significantly shorten the length of time it will take to pay off your debt.

Debt settlement  is a better option if getting out of debt faster is your goal. Under a debt settlement plan, creditors agree to forgive part of the principal that you currently owe. This means that your debt load is lightened considerably, reducing the time it will take to pay it off. The average interest rate on your debts is usually lowered as well, making it even easier to pay off your creditors.

The drawback to debt settlement is it will hurt your credit score, making borrowing later on more difficult.

Ready to learn more about debt consolidation and other debt relief options? Fill out the debt relief form and get the information you need right away.

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Debt Consolidation By Province

Debt Consolidation Loans – What They Are and How They Work #micro #loans

#unsecured debt consolidation loans

Debt Consolidation Loans – What They Are and How They Work

A debt consolidation loan is a type of financing that is extended to people that have multiple debts, allowing them to consolidate (or combine) all of their debts into one new loan.

While debt consolidation loans can be used to consolidate various types of personal debt. the most common is credit card debt. The loan is intended for people with multiple credit cards who are struggling with making the minimum monthly payments to their creditors.

Benefits of Debt Consolidation Loans

The benefits of a consolidation loan can be a worthwhile solution to climbing out of debt for candidates with heavy debt that is dispersed amongst multiple credit cards.  Essentially, when taking out a consolidation loan, you are paying your credit card debts in full and the new loan is established in their place.  Taking out a consolidation loan is beneficial in the following ways:

  • May reduce the number of collection calls you receive from multiple creditors
  • Allows you to make one monthly payment to one source
  • Provides you the opportunity to improve your credit score over time by making timely payments

Secured vs. Unsecured Debt Consolidation Loans

There are two basic types of consolidation loans – secured and unsecured.  Secured loans are tied to an asset (house, car, piece of property) and used as collateral in the event that you default on your loan.  Unsecured loans are not tied to an asset and are based largely on your credit history because you are considered high-risk for a lender.

Secured Loan: positives and negatives

+ Easier to obtain from a lender

+ Higher borrowing amount allotted

+ No asset risk

+ Shorter repayment term (lower cost in interest over time)

 Harder to obtain from a lender (high risk borrower)

 Lower borrowing amount allotted

 Higher interest rate

 No tax benefit

How Will a Debt Consolidation Loan Affect My Credit?

A debt consolidation loan can provide an opportunity to improve your credit if you use it as a financial plan, as opposed to just shifting debt around.  When you take out your consolidated loan, your credit card debt will be paid in full and you will focus on paying down your single new loan.

If you need to take out a consolidation loan, it is safe to assume that your credit has already taken a hit with delinquent payments.  As your score won’t immediately improve, timely payments on the new loan will start to positively impact your credit rating over time.

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Debt consolidation loans

A debt consolidation loan can seem like an ideal solution if you re struggling with all the organisation and administration required to manage multiple debt repayments.

People with multiple creditors (such as credit cards) may consider debt consolidation as a way of paying off the balances of their debts and instead make the one repayment on the debt consolidation loan. But there are some serious implications with regard to debt consolidation that you need to know in order to avoid falling even further into debt.

To debt consolidate or not to debt consolidate?

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Debt consolidation after credit

In recent years, with the increased availability of credit, many people struggling with several monthly debt payments have attempted to use a debt consolidation loan to put all their debts into one supposedly affordable payment, either by securing their debt on property or through an unsecured loan.

Some people find that the debt consolidation loan interest rate is lower than the interest rates they re paying on their other debt (credit cards and payday loans being typically expensive forms of credit). So a debt consolidation loan that means one monthly payment that is simpler and cheaper than trying to manage several other more expensive loan repayments can seem a tempting course of action.

Debt consolidation the pros

In some circumstances, it may seem sensible to debt consolidate.  If you can identify that you re in debt difficulties before you ve actually missed any payments, then your credit rating won t be affected, assuming that Default Notices   haven t been issued already on the debts you owe.

If you choose a good debt consolidation loan with a cheaper interest rate than your other debts, then that should mean you ll then have a lower monthly payment to one creditor.  Your income and expenditure should help you decide what you can and cannot afford if in doubt, contact a Payplan debt adviser ,  or for more information on how debt consolidation could work for you, take a look at this interesting and informative guide to debt consolidation .

Debt consolidation the cons

Some people who take out a debt consolidation loan subsequently take out more credit or use their credit cards again. This compounds their debt problem even more, of course, and leaves them even worse off than they were before. If you take out a debt consolidation loan, you need to be totally sure that you won t need to use your credit cards or take out any other credit while you re repaying your debt consolidation loan.

Debt consolidation may be harder for people with poor credit ratings, and the high rates of interest that people falling into this category are offered may not even cure the symptoms of unaffordable monthly debt repayments. Secured loan interest rates are generally lower than unsecured loan interest rates, but to benefit from these you normally need to be a homeowner.

Debt Consolidation Loans What Can You Do Next?

As a next step, contact Payplan for free, sympathetic and immediate advice regarding the dangers of debt consolidation loans. Telephone free on  0207 760 8977   or use our debt help form ; your free debt advice begins as soon as you contact us.

Unlike so many other debt management companies, here at Payplan we don t charge any upfront fees for debt solutions such as Individual Voluntary Arrangements and Debt Management Plans; instead we receive our income primarily from the credit industry. That is, your creditors recognise that our debt solutions are a sustainable and realistic strategy in getting you debt-free, and agree to arrangements that will typically complete with no fees charged to you.

Payplan provides expert, impartial confidential advice debt solutions to our clients.


Debt Consolidation Loan #grants

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Debt Consolidation Loan Directory

Find companies providing consolidation loan programs and related debt relief services. Save time and money when you learn about and then compare financial services at

Debt Consolidation Loans and Other Types of Debt Relief

Consolidate Debt Without a Loan

Consolidation of Debt through CareOne Without Loans

The providers of CareOne’s Debt Relief Services have considerable experience providing legitimate debt solutions to consumers needing help. Call or request a free debt analysis online.

Terms Terminology with definitions, along with those defined in the text on this page:

We also feature personal finance tips and additional resources written by our staff, as well as those provided by other websites. These are given to you to help you get your monthly budget and personal finances under control. Save money when shopping for financial services. Start the process by doing more for yourself than just saving on your current needs. Learn about personal finance and save money on a go-forward basis!

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General terminology used to describe the combination of multiple debts owed to credit card lenders into one (typically) smaller and easier to manage payment amount. It is often assumed that getting a consolidation loan is required to consolidate debt, however, there are multiple methods of accomplishing this goal. Each type of debt help (or relief) has its own set of pros vs. cons, and the list can be different for each consumer depending upon their personal financial situation. Get more info and Find Debt Consolidation Programs .

This type of lending is can be used for consolidating credit card debt and other (typically) smaller bills, or for a wide variety of other purposes. They can be offered as unsecured loans. or they can be secured to a borrower s personal collateral. Unsecured loans are usually available for smaller amounts of money and qualification is typically much more difficult than it is for other types of lending. Get more info and Find Personal Loan Options.

What is Credit Counseling ?

Credit counselors may be able to help a consumer obtain better interest rates, get penalty fees waived and help them manage their personal finances better through a consolidation of debt that is managed by the credit counseling agency. The consumer makes one payment to the counselor s firm, that (in turn) pays the borrower s creditors. This is why this type of service is also referred to as debt management. Get more info and Find Credit Counseling Help.

This form of debt relief is the process by which a company negotiates a lower balance on a consumer s outstanding debts with their creditors. The credit accounts are closed and the consumer agrees to make payments, per a schedule, until the balance is paid off. However, any amount of forgiven debt may be considered taxable income. Get more info and Find Debt Settlement Services .

Debt Consolidation: Get Tips on How to Pay Debt Off – CIBC #quick #personal #loans

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Learn How Debt Consolidation Works

Even if you don’t have a stack of credit card bills with high interest rates, you may have school loans, car loans or high-interest loans. There are ways to manage your debt so you can pay less in interest, minimize monthly payments and eventually eliminate these loans altogether. Consider these three ways to reduce your debt.

1. Look for lower interest rates

A lower interest rate allows for a higher portion of your payments to go towards paying off the principal of the loan, so you can pay off the debt faster. Here are a few ways to get a lower rate:

  • Request a lowered interest rate from your credit card provider
  • Open a lower interest credit card, and make a balance transfer
  • Move balances off of cards with especially high interest rates, and onto cards that can minimize these charges

2. Consolidate debt with loans or lines of credit.

Not only will debt consolidation help you better organize your monthly payments, but it should also allow you to pay less in interest than all your previous rates combined. Here are just a few ways you can combine and manage your debt:

  • Apply for a debt consolidation loan, and then pay just the single monthly payment on your new loan
  • Open a line of credit rather than taking out another loan, then repay the line of credit as you use it

3. Refine your debt paying strategy.

Once you’ve consolidated your debts into as few loans or payments as possible, you may still have to prioritize the debts you can afford to pay first. There are two schools of thought on this.

Pay off your highest interest loans first

Some financial experts will advise you to tackle the highest-rate debt first because interest is accruing at a brisk pace. If the loan balances on your high-interest debts are within your reach to pay, this can be a good strategy. However, the debt with the highest interest rate may also be the largest loan or debt you have, meaning it will take longer to pay it off and make a dent in your overall debt load.

Pay smaller loans first

Eliminating several smaller loans and debts first may be a better solution. You’ll reduce your overall debt load, and get the satisfaction of having some initial success.

CIBC has a borrowing solution for you.

CIBC Personal Loans and Lines of Credit enable you to borrow with flexibility at competitive interest rates. Talk to a CIBC advisor today at 1-866-525-8622. You can get your questions answered and learn about CIBC’s lending products. Or, start your loan application online now.

Debt Consolidation 2015 – Reviewed and Ranked #car #finance #calculator

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Debt Consolidation


Debt consolidation can make a lot of sense for people with a high level of debt or paying a lot of bills. In these tough economic times many Americans are faced with significant credit card debt and are looking for help reducing their monthly payments. Debt consolidation is a method often used in this situation and helps consumers simplify their budget.

After consolidating their debt. many people report a reduced sense of stress. This is especially true when debt consolidation allows the consumer to better meet their obligations and get back on their feet financially. It’s important to remember that after debt consolidation. consumers should closely monitor their finances and avoid taking on any new debt.

Finding the right debt consolidation program can be confusing for many individuals. Thankfully a number of reputable financial companies allow consumers to search and apply for debt consolidation online, from the convenience of their home. This increases the chances of finding the right debt consolidation program that meets their needs.

Before applying for a debt consolidation program. you should consider these important points:

    Method. What options will the company provide you with in their debt consolidation program? Cost. Does the company charge a fee to review your finances and identify financial solutions? What are the details you can anticipate with your debt consolidation program? History. Does the company have a long history of successfully helping clients with their financial needs? Is this a company you can trust with debt consolidation? has reviewed and ranked the best Debt Consolidation programs available today. We hope you find these reviews helpful in finding a debt consolidation program that meets your financial needs!

Disclosure. We pay our reviewers for their reviews. We are not compensated by companies for their reviews, but we are compensated for links and advertisements on our website. Click here for details.

Debt Consolidation Calculator #consolidate #loans

#debt consolidation loan calculator

Below, check out the awesome new debt consolidation calculator that lets you compare interest, cost and options in evaluating your own debts.

What do all your loans actually cost you? When you make a plan to pay off your debts, do you consider the total cost you will pay over time?’s new debt consolidation calculator helps you calculate your real cost of debt and find ways to save money.

Very few of us pay for our major purchases in cash. The only way most of us can afford to buy a home or car, or to pay for college educations, is to borrow money. How you borrow money and the way that you pay it back determines how much your purchases actually cost us over time.

Don t get caught in a trap where you only think about your ability to afford your monthly payments. Think strategically. Examine how much you pay in total interest over the life of any purchase you finance.

When you borrow money, whether in a mortgage, car loan, student loan, or on a credit card, you re paying interest. If you have a $150,000 30-year mortgage at 5% interest, you re going to pay over $140,000 in total interest over the life of the loan. A 1% reduction in interest will save you over $32,000, cutting your total interest almost 25%!

The average credit card interest rate is about 17%. With rates so high, you need an effective strategy to pay down any credit card debt you carry.

Use the debt consolidation calculator to understand how small changes with your mortgage, auto loan, credit cards, and student loans can lead to big savings. Our free tool also connects you with solutions that will save you money and improve your financial health.

The more money you can save, the faster you can pay off your debt and the more money you can put towards building up your retirement fund and long-term savings.

Dangers of Fast Personal Loans #personal #bank #loans

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With anything in life, rushing through often brings severe consequences. Obtaining fast personal loans to make a purchase is no different. Even when time is short, you can take certain steps to prevent falling prey to scam artists or unscrupulous business practices.

Why fast loans tempt borrowers

Fast personal loans are attractive to consumers because of the right now society in which we live. A lending officer might tempt you into submitting your application with the promise of getting to leave with extra cash in your pocket. A short underwriting turnaround can also mean less time for someone checking your credit to notice the blemishes that usually lead to credit decline.

Why fast loans cause problems

In many cases, the lender offers you a legitimate loan product with an expedited processing period. These loans are fine, but offering fast personal loans is a way for predatory lenders to lure you deeper into debt. Instead of performing your due diligence on the loan s terms and conditions, the siren s song of quick cash distracts you from the facts. The lender knows this.

The top sign of a questionable personal loan is a loan officer who s unwilling to discuss the specific details. Rather than providing appropriate disclosure of terms and fees, he focuses on the speed of approval. When you need money to cover your expenses, the turnaround time is important, but not the only factor in accepting the loan offer.

Another questionable practice is targeting individuals with low credit scores for high interest loans. Yes, loans for bad credit do feature high interest rates to compensate the company for taking additional risk, but the rates and fees are not typically unreasonable in nature. Businesses that employ predatory lending practices for fast personal loans, hope you ll apply and accept the loan before you investigate the company or the terms. Because individuals with low credit scores have trouble obtaining financing through conventional methods, they may apply out of the sheer relief that they finally received a loan offer. It s only after months of paying exorbitant interest rates that they realize the mistake.

Avoiding personal loan scams

Always consider the logic behind any credit offer before you accept fast personal loans. If the deal sounds a little too perfect to be real, there s an excellent chance something else is going on that you don t see. Protect your finances by investigating every loan offer you receive to determine whether it s a valid option.

Debt consolidation calculator #fast #payday #loan

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Debt consolidation calculator

Debt consolidation calculators will often tell you about the best available deals to consolidate your debts. Ours is a little bit different. Rather than try to persuade you to take out a debt consolidation loan, our calculator helps you understand whether it s a good option for you.

We want you to know if debt consolidation is something that suits your circumstances. Answering these seven simple questions will help you understand your situation a little bit more.

Risks of debt consolidation

“I wish to thank your staff for all the great help they gave me when I was in so much debt.

They were a pillar of support to me.” (Leslie, Essex)

Foundation for Credit Counselling (trading as StepChange Debt Charity ) is a company limited by guarantee registered in England and Wales (Company No: 2757055 ) and a charity registered in England and Wales (Registered Charity No: 1016630). Registered office: Wade House, Merrion Centre, Leeds. LS2 8NG. Consumer Credit Counselling Service (Scotland) trading as StepChange Debt Charity Scotland is a company limited by guarantee registered in Scotland (Company No: SC162719) and a charity registered in Scotland (Registered Charity No:SC024413). Registered office: 33 Bothwell Street, Glasgow G2 6NL. Authorised and regulated by the Financial Conduct Authority.

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Student Loans

AIU accepts a variety of student loan options to fund all or a portion of the cost of your education. There are two student financial aid loan programs students can consider:

  • Federal Loan Programs – Through several outlets, students can obtain low-interest or structured federal student loans that are designed specifically for students coming from challenging economic conditions. Students can apply for these loans through the federal aid web portal and by completing a Free Application for Federal Student Aid (FAFSA) application.
  • Private Loans – Many companies offer private student loans depending on the student’s need. Compared to federal loans, private student loans tend to involve higher interest rates and long-term costs, but can also provide aid for students who do not qualify for federal aid.

As a borrower, you should understand that interest rates can vary based on a number of factors, including the borrower s and/or cosigner s credit rating and credit history. Terms and conditions will vary by lender, so be sure to read all of the details on the loan before you borrow. If you have any questions about financial aid through federal or private loans, contact AIU today .

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