Take out a debt consolidation loan and get rid of debt-related stress. Eliminate multiple debt repayments and interest rates and consolidate your debts into one with Positive Solutions Finance
Consolidate Your Debt Before it Becomes Unmanageable
Are you juggling multiple debts, interest rates and payment frequencies? Struggling with unmanageable repayment amounts and sick and tired of juggling multiple repayments? If you’re trying to improve your financial situation but debt just keeps weighing you down, a debt consolidation may be the right solution for you. It’s not uncommon to be paying off more than one debt at any point in time. At Positive Solutions Finance, we can provide a debt consolidation loan that consolidates your existing debts, leaving you with one, easy to manage repayment.
How Debt Consolidation Can Help You in Melbourne
You may have multiple credit cards, personal loans and store cards, each charging different interest rates. These debts would also all have different payment dates, so you continually have money going out of your account and it may be difficult for you to keep track of it all. By bundling all of these debt amounts into one debt consolidation loan, you may not only be saving on interest, but also only paying one total monthly amount, giving you increased control and certainty over your finances.
The Key Advantages of Consolidating Your Debts
- Potentially getting a lower interest rate, saving you money on interest.
- Streamlining your repayments into one manageable loan.
- A clearly defined timeline of when your debt will be paid off.
- Reducing the cost to maintain your debts with fewer fees.
- Can help improve your credit score and reduce the stress related to debt.
All of this may be a huge help with your budgeting. Instead of just paying the minimum amount to cover interest accrued for the month, you’ll be making set repayments on the loan amount and interest – so you can get ahead at last.
While debt consolidation can provide an immediate strategy to help you gain control over debt, it doesn’t address the underlying problems which usually involve weak spots in money management.
How Will a Debt Consolidation Loan Affect Your Credit?
Taking out a debt consolidation loan will positively affect your credit score if you follow these steps:
- You’re on time with your consolidation loan payments every month.
- You’re able to eliminate your debt balances, or reduce them to less than 30% of the credit limit on your credit card
- You’re able to diversify your lending profile, meaning taking a loan, such as a debt consolidation loan, that’s different from only having credit card accounts.
- You’ve changed your spending habits and made a commitment to not accumulate more debt.
Debt consolidation may hurt your credit score if you:
- Continue to make charges on your credit cards after you pay off your balances.
- You’re 30 days (or more) late on making your payments on the debt consolidation loan.
- You apply for loans for which you cannot qualify.
Questions to Ask Yourself Before You Consolidate
- What are your current monthly repayments?
- How much interest are you paying (and fees)?
- Will you be eligible?
- Will an exit fee or penalty apply to any of your current credit accounts?
- What is your credit like?
- Is this a good time to get into more debt?
Helping You With Debt Consolidation in Melbourne
We understand how stressful debt can be, which is why we are dedicated to finding you the right solution. No two financial situations are the same and we encourage you to get an accurate assessment before making your final decision. When you engage Positive Solutions Finance, we will take the time to assess your financial situation and determine the best debt relief solution moving forward. If debt consolidation is not the best option, there are alternatives which can help. These include mortgage refinancing, debt settlement and repayment arrangements. Contact our Brisbane team today for a free consultation on 1800 40 3328.