Finding it difficult to pay down your debts? You’re not alone. If you have multiple loans or credit cards, you could be paying much more than you need to. By consolidating your balances to a single line of credit, you can not only save on interest costs, but better manage your money as well. Here we look at how you can simplify your life and save with debt consolidation.
One Simple Interest Rate
When you have multiple loans and credit cards, odds are you have different interest rates and repayment methods associated with each one. Student loan interest rates and credit card rates can also be very high. Wouldn’t it be easier to consolidate all these loan sources into one simple affordable account? If you consolidate you obtain only one often lower interest rate and one monthly repayment plan.
Get Out of Debt Faster
When consolidated with your mortgage or not, consolidated payments generally have lower interest rates than other loan instruments on the market. By consolidating your loans to the lower interest rate, you will have more available money and can begin to pay back your loans much faster, paving the way for financial freedom.
Improve Cash Flow
With a debt consolidation, don’t have to worry about penalties if you make more payments than just the interest payment. You can pay back as much as you like and as often as you like with no hassles. Reducing your monthly payments can also help to free up money you can use in a variety of ways.
You can use the money for a variety of other projects you otherwise couldn’t afford with multiple debt payments. You can now have the money to start that new home improvement, buy a new car, purchase a home, or pay for your children’s schooling. Plus, you can also leverage the equity in your home to secure even a lower rate.
Protect Your Credit
Drowning under multiple high-interest loan payments can damage your credit, especially if you struggle to pay the required amounts by the due dates. A consolidated loan can help to keep your credit healthy.
Trying to make more than one monthly payment can be confusing and stressful. Having one simple plan is much easier to manage and will not leave you with sleepless nights.
Don’t get stuck in years of debt, consolidate all your outstanding balances now and reach your financial goals faster. Book an appointment with The Mortgage Advisors to learn more about debt consolidation mortgages and other financial solutions to simplify and save.