Get a Debt Consolidation Loan! What You Need to Know
Do you feel like your debts are endlessly piling up? Credit card payments, bills, car loans, and personal loans can take a heavy toll on anybody’s pocketbook. With so many outstanding lines of credit, you may find it difficult to budget, keep track of what you owe, and make your payments on time. This problem effects many New Zealanders every year, and while responsible money habits are the best way to stay in control of your finances, we all need a little help sometimes. That’s why debt consolidation loans are considered such a viable option for people suffering from multiple debts.
Debt consolidation loans put you back in control of your expenses, but how do they work and how will they benefit you? Read on to find out!
What is a debt consolidation loan?
A debt consolidation loan is a refinancing plan to simplify your bill commitments by combining multiple high-interest debts – usually credit cards, car loans, and other bills – into a single, easy-to-manage payment. You simply use the cash from your debt consolidation loan to pay off all your other outstanding debts, leaving you with a simple monthly expense.
Consolidation saves you time and money by reducing your list of monthly payments down to a single, fixed amount. This enables you to stay on top of your expenses and serves as an effective long-term strategy to help you climb out of debt.
With a consolidation loan, you can typically eliminate your overall debt after 3 to 5 years.
What are the benefits of debt consolidation loans?
- Reduce your monthly expenses – With a debt consolidation loan, you have only one monthly payment to make. With your other debts paid off, you can structure your debt consolidation loan with a longer repayment term to lessen your monthly burden.
- Lower interest rates – A personal loan from Loansmart typically carries a lower interest rate than credit cards or many bank loans. That’s to say nothing about the late payment penalties, fees, and charges you may have been paying if your debts had overwhelmed you. Lower interest means long-term savings!
- Only one creditor – Imagine reducing that stack of bills you were receiving to a single envelope!
- Easier budgeting – Having fewer debts to manage makes it easy to organise your life, resulting in better spending habits and less stress!
Take control of your debts with Loansmart
If you’re struggling with multiple debts, you’re not alone. Many people consolidate loans NZ wide, proving it is a viable strategy to refinance your credit obligations. At Loansmart, we understand this struggle. That’s why we’ll work with you to develop a debt consolidation strategy that works for your unique financial needs.
We can help you consolidate your debts into one manageable payment. Simply click on the button below to apply, and in 3-5 days you too could have the capital you need to streamline your debts and regain control of your financial future!