Consolidating loans from different lenders
For over a decade Solution Loans has helped people all over the UK find solutions to their personal finance problems. So, we've tried to design our website to include numerous loan types and also provide the information and tools to help you narrow down your options.
As a broker our aim is to help you identify the right product or service for your needs. What we don't do is run a call centre and we don't give advice.
They also tend to have higher interest rates and lower qualifying amounts.
Even so, the interest rates are still typically less than the rates on credit cards. “Typically, the loan has to be paid off in three to five years,” says Harrine Freeman, CEO and owner of H. Freeman Enterprises, a credit repair and credit-counseling service in Bethesda, Md., and author of “How to Get Out of Debt.” These types of loans don’t erase the debt; they simply transfer all your debts to a different lender or type of loan.
(In circumstances where you need actual debt relief or don't qualify for loans, it may be best to look into a debt settlement rather than, or in conjunction with, a debt consolidation.
Debt settlement aims to reduce your obligations rather than just reducing the number of creditors.
Creditors are willing to do this for several reasons – one of them being that it maximizes the likelihood of collecting from a debtor.
This works out to 36.88 being paid in interest alone.
If the same individual were to consolidate those credit cards into a lower-interest loan at an 11% annual rate compounded monthly, he or she would need to pay 2.16 a month for 24 months to bring the balance to zero.
Representative example: Borrow £3,000 over 36 months. Or if all you need is an unsecured loan over a number of years then what about a personal loan, or a guarantor loan if you have had credit problems?
Or perhaps you know what sum of money you need, but don't know what borrowing options exist.