Below are quotes from the Federal Trade Commission on Debt Consolidation.
"You may be able to lower your cost of credit by consolidating your debt through a second mortgage or a home equity line of credit. Remember that these loans require you to put up your home as collateral. If you can’t make the payments — or if your payments are late — you could lose your home.
What’s more, the costs of consolidation loans can add up. In addition to interest on the loans, you may have to pay 'points,' with one point equal to one percent of the amount you borrow. Still, these loans may provide certain tax advantages that are not available with other kinds of credit."
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Financial Freedom With Debt Consolidation Services
As a nation, most of us are struggling with significant amounts of debt. Living paycheck to paycheck and using credit cards to see us through in between, we are caught in a seemingly endless cycle of accruing financial obligations – with little hope of ever catching a glimpse of the light at the end of the tunnel.
Yet, while credit card debt continues to escalate, opportunities to help eradicate this debt continue to emerge for consumers. Through debt consolidation services , consumers have the opportunity to consolidate multiple, high-interest payments into one lower-rate, manageable monthly payment. By focusing their payments through debt consolidation services, consumers can finally make headway on paying down – and eventually off – their debt and putting cash back in their pockets.
Most importantly, debt consolidation services allow consumers to rid themselves of burgeoning debt and finally find their way on the road to a future of financial freedom.
Debt Consolidation Loans
Debt consolidation converts all of your unsecured debts into a single secured loan. You will still be required to pay 100% of the new debt, in addition to any closing costs or other fees. Converting unsecured debt into secured debt reduces your options for debt relief, as the lender now has the ability to seize your property.
Studies have shown that 80% of people who apply for a debt consolidation loan find themselves digging into deeper debt. The majority of people who enter a debt consolidation loan program neglect to cancel their credit cards after they have been paid off so they tend to use them again and get right back into debt problems. 65% of people who use debt consolidation loans will go over their credit card limits again which means that not only do they have to pay back the consolidation loan they have new credit card debts to worry about! Unfortunately those people have just doubled their debts.
Take STEP 1 to Clear Debt or call 866-211-1793