And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward –- and free. " Debt consolidation is a strategy to roll multiple old debts into a single new one. We believe everyone should be able to make financial decisions with confidence. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. We're on your side, even if it means we don't make a cent.If you fall behind on your payments, you face foreclosure, which is much worse than defaulting on your credit card payments.Debt consolidation loans are used solely to combine all your debts.These loans may be offered by major banks or from so-called non-profit debt consolidation companies.
You can transfer just one or two of your highest interest rate credit card balances to ease some of the debt pain.
Before you consolidate debt with a balance transfer, make sure you’ll actually be saving money with the transfer.
It's not worth it to consolidate debt and end up paying more.
If you don’t repay the loan, then the death benefit will be used to cover what you borrowed and your survivors may not get anything at all.
This is another last resort method you can use to consolidate debt.