Why are debt consolidation loans so popular?

We hear a lot about debt consolidation loans and why they might be a sensible way for a family with more than one debt to get their finances under control and reduce their monthly payments. But what are debt consolidation loans and do they really make sense for people who are concerned about the amount of interest they are paying on their unsecured debts? Debt consolidation loans explained Most families in the UK owe money on more than one card or on more than one unsecured loan. While it can make life difficult keeping track of all of these balances and repayments, it is possible, likely even, that you could be paying more in total interest charges than you have to. A debt consolidation loan is exactly what it says on the tin: you wrap all of your debts into one balance with one interest rate and once monthly repayment. While this can make household budgeting much simpler, it can also substantially reduce the amount of interest charges you are paying each month, although be careful


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