Sunday, May 4, 2008

How To Get a Low Interest Debt Consolidation

Debt consolidation loans help debtors lower their monthly bills while paying off credit cards with high interest rates and debt, adhering to an overall debt strategy. Many online counselors or debt management services will offer to make your bills lower each month and may even claim to offer additional funds for your own purposes.

Buyer Be Ware! This is a rip off!

If you are having a difficult time paying off your debts, then consider that some plans will enable you to pay off costly interest rates on credit cards. The monthly installments, once the debt consolidation personnel settle on an amount, will not increase or decrease during your agreed plan. Some companies will claim that the loan offered has no restrictions. They will tell you the date your loan borrowed will be repaid, as well as offer you as much as "$10,000" fast in loans, and even may claim you can get the money the "same day you apply."

Few of the online debt consolidation services will offer a variety of plans that will meet your budget. However, if your loan amount is above the "$10,000, then you will need home equity to get additional loans. The loans then become secured loans, which require collateral - and your home is generally the collateral.

To get a loan online, you must collect all your bills and provide the details on an online application. You must also have a detailed estimate of your debts, plus your income. After you fill out the online applications, some debt consolidators claim to take a few seconds to evaluate your application and then contact with their decision. Some companies who claim to lend you money will also claim that they will lend it on the spot as soon as you are approved.

Be aware that some companies charge high interest rates, plus additional fees for services in debt consolidation.

If your debt is more than 10k and you need to roll it into your mortgage, go to a Mortgage Broker and Do Not fill out an application on line for one of these so called "debt consolidation" companies. They are just waiting to rip you off!!

Go to a lagit Mortgage Broker in you area and get a cash out refinance or a 2nd mortgage. (That is what a loan "using your home for collateral" is) Get it from someone that is reputable and is regulated. They will also tell you of any other options you may have.

Send me an email if you have questions.

Good Luck!


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