Debt consolidating secured personal finance
Some lenders offer loans specifically designed for debt consolidation.Again, you'll need to fill out an application and demonstrate to the lender that you'll be able to make regular monthly payments.While the publisher has been diligent in attempting to provide accurate information, the accuracy of the information cannot be guaranteed.
Each one is essentially a contract where you borrow money and then agree to pay it back over a period of time with set payments.
Keep in mind, however, that these loans usually come with higher interest rates than home equity loans and, depending on the amount you borrow, may require collateral on the loan (e.g., your car or bank account).
For debt consolidation to be worthwhile, the monthly payment on your consolidation loan should be less than the sum of the monthly payments on your individual loans.
Most often this is real estate or a newer vehicle (they’re not interested in big screen TVs, household appliances, tools, equipment, or collector items).
If you have a high credit score, you may be able to qualify for an unsecured loan (no collateral required) from a bank or credit union and you’ll probably get a decent interest rate.
You'll need to fill out an application and demonstrate to the lender that you'll be able to make regular monthly payments.