There are many Benefits to Debt Consolidation. Below we will list a few. Not only will we list some benefits but also some cons. Technically there are no negative points regarding the debt consolidation program but there are a few things you need to be aware of before you consolidate your debt.

Benefits of Debt Consolidation

The benefits of a Debt Consolidation include the following:

• One Low Monthly Payment
• Maintain or Restore your credit rating by starting to pay your bills on time monthly.
• Lower your interest rates down to an average of 6-9%.
• Pay off your debts in as little as 3-4 years without negatively affecting your FICO Credit Score.
• You are not required to own a home to enroll into a Debt Consolidation.
• Stop harassing phone calls from creditors.
• You choose when to make your monthly payments.
• In most cases all it takes is 30 minutes of your time to get you enrolled and on your way to success. Get rid of that high interest rate credit card debt.

You can also view our FAQs section for answers to the most commonly asked questions regarding Debt Consolidation.

What you need to know BEFORE you consolidate your bills

When you enroll into a Debt Consolidation program you’ll start enjoying the benefits listed above. Once low monthly payment and Lower interest rates on your credit cards. Before you do consolidate your debt, make sure you’re aware of a few things.

1. If you’re planning on buying a home, buying or leasing a car, applying for a loan or refinancing your home within the next 3-6 Months you should hold off on Consolidating your debt. When you enroll into a Debt Consolidation, you will be required to wait 8-12 months before being able to make a major purchase. Most consumers think this is because the Consolidation program hurt their credit. It’s not. What you must remember is that when joining a consolidation program, you’re asking your creditors to reduce your interest rates to start helping you get out of debt. Most lenders what to make sure you’ve made on time payments anywhere between 8-12 months before giving you a loan. 
   

   Before your Consolidate

    

2. Your credit cards will be closed. Any accounts you include into a Debt Consolidation program do get closed when your interest rate gets reduced. The reason for this is because the program is made to help you get out of debt. If the creditors are going to give you a lower interest rate, they want to make sure you’re not going to keep spending at the new lower interest rate. The program is made to help you get out of debt not further into it. Once you’ve finished the program successfully you may apply for new cards if you wish.
3. Before enrolling with any company, ALWAYS look them up on the Better Business Bureau. You want to make sure that they’re a well established company, usually open atleast 3+ years and that they have a “B” or better rating with the Better Business Bureau. This will ensure that you’re going with a reputable company and that you’re receiving accurate information. One company that has been around since June of 2000 and has an A+ Rating with the Better Business Bureau is Consumer Debt Solutions, Inc.