So you’re like many out there in the world who have found yourself in a tough financial spot due to the global recession. More and more people everyday are feeling the pinch of unemployment, rising health care costs, rising costs of carrying over your credit. The list goes on and on as to what has befallen them to get into a spot where their finances are unmanageable. Whatever your reason may be its important to your future as well as the future of your family that you get things back under control.
Now I know how daunting of a task this can be as someone who has been down this road personally. I was laid off at about the time the job market dried up and nobody had anything available and I found myself living off of credit cards and unemployment while I frantically tried to find a job that would pay me at least close to what I was making before just so I could cover my monthly bills. As the credit wore off and I got into a position where I couldn’t keep up with my bills anymore, my credit score started to drop.
So I understand where you’re coming from. I looked into bankruptcy, payday advances, debt consolidation loans for bad credit…anything. The last on that list that I explored, the debt consolidation loans for bad credit seemed like a viable alternative to me that I might do some of the things that I needed to get my bills cut down to where I could manage them. There were lots of benefits to this plan as I soon found out, so I did some more research.
While it’s not as easy to get debt consolidation loan for bad credit as opposed to getting one with good credit, there are folks out there that will give you one of these loans. Your interest rate won’t be quite as good as those with better credit, but when you’re paying 22% to a credit card company almost anything is better than that.
A debt consolidation loan is one that takes all of your unsecured debt (typically credit card debt) and rolls it into one secured or unsecured personal loan. These types of loans are almost always lower than what you’re going to pay on your credit cards and this will help drop your monthly payments down to something that is more manageable for you. In addition to that, it gets you down to only having to manage one bill where you might have four or five that you had to keep up with before.
Another huge benefit of a debt consolidation loan is that it is stretched out for a little more time. This is good in that it additionally cuts your payments down lower and bad in the respect that you’ll be paying that debt off for longer than you would on your credit cards. So do some research on debt consolidation loans, it could be your saving grace.