Even 75% of people took credit or loan at least once in their lives – this is the result of data collected at the request of the National Debt Register of the Economic Information Bureau. Some people have many liabilities, which can mean several different payment dates and large monthly installments. The solution to this situation is credit consolidation. Check what it is and why it is worth considering such a solution.
People are eager to use the support offered by banks. Cash loans, installment equipment, credit card debt or a running credit line – in this way, people gain funds for their daily lives and implementation of plans that have been postponed long ago. Repayment of several loans at the same time is often problematic – mainly due to the need to remember about many different payment dates. Also monthly expenses related to the repayment of liabilities are a considerable burden – especially if the borrower has more than one loan on his account.
Consolidation of liabilities – what is it about?
Loan consolidation is the conversion of many repaid credit obligations into one. In practice, it is the repayment of loans taken from banks with another loan – the amount covering the entire liability.
Example. Let’s assume that you pay the credit limit on your personal account, TV installments and credit card debt. A consolidation loan allows you to get rid of several liabilities paid on different dates. In return, you pay only one installment.
Credit consolidation – it’s worth it
A consolidation loan is a solution that brings many benefits.
- You have more control over the repayment deadline
Consolidation means repayment of liabilities in one time – often chosen by the borrower himself. This allows you to take full control over the loan – no payment will be missed.
- You have the chance to lower the monthly installment
The monthly installment of a consolidation loan is usually much lower compared to the total cost of earlier repaid obligations. There are several reasons: from the possibility of extending the repayment period up to several years (the longer the loan period, the lower the installment), and ending with the lower APRC.
- You want to receive extra money for any purpose
Consolidation of loans means not only converting several liabilities into one, but also gives you the chance to get additional funds. The money can be used for any purpose, and the additional amount will be included in the monthly installment.
Are you interested in loan consolidation? When choosing a specific offer, don’t rely on chance. If you don’t know where and how to take a profitable consolidation loan, we are at your disposal.Only experienced loan brokers work, thanks to which you will reach loan offers that best match your expectations. Together we will find a solution tailored to your needs and help in completing the formalities.