Home » Finance » Loans

Debt Consolidation - Getting A Loan To Solve A Problem

Aug 17, 2007
When you find yourself with your finances just about out of control, then it is time for you to consider debt consolidation. One workable solution to the problem of just too much debt is to take out a personal loan. Here are some tips that will help you safely consolidate your debts.

Before any tips are given about this problem, it is important that you look at the loan as a way out. It will only help you stay out of debt, though, if you take some drastic action to change your spending habits.

The first thing you need to do is to add up all of your debt and find out what the interest rate is on each of them. Make a list of each and jot down the interest rate. Then, calculate a budget so you know just how much it takes for you to live on each month. Eliminate some of the extras so you can stay out of debt.

You have a couple of choices at this point - depending on how much you owe. If it is not a lot of money, say, under $1,000, and if your credit rating is rather good, it may be possible to get a new balance transfer credit card with 0% APR interest. If you do decide to go this route, make sure the credit card has no balance transfer fees and that the introductory offer lasts for at least one year. This will literally remove all interest for the duration of the introductory offer, and some will even give you 0% APR for the life of the balance transfer. Be careful never to be late with a payment, though - you might find yourself suddenly in a high interest bracket.

The other option is to go online and look for a lender for a personal loan. This would be the more likely solution, but will give you a much higher interest rate. You can choose to put all of your debts on the new loan - or just some of them. By going online you can get several quotes for a personal loan to consolidate your debts.

Look over the various quotes that you received, and choose the one that gives you the features you want. Look for the lowest interest rate, the repayment time, and see if there is a penalty for early repayment.

If you are able to keep up with the payments of some of your other debts, and the new loan, then you want to select which debts to put on the new loan. You do not have to take out a debt consolidation loan for everything. In fact, if you can handle the payments, you should only put the debts onto the loan that have a higher interest rate than the loan itself. So, after you get the quotes, you may want to readjust your figures - once you know the interest rate that you can get.
About the Author
Joe Kenny writes for Rebuild.org, offering debt consolidation, or for UK residents secured debt consolidation loans..
Visit today: Debt relief from Rebuild.org
Rating:
Please Rate:
(Average: Not rated)
Views: 113
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Buying
    • Selling
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources