How to save with Debt Consolidation

Debt Consolidation is designed to reduce the number of monthly payments you need to make as well as the interest rate applied to your outstanding debts. Instead of making numerous high interest payments – you only have to make one low interest payment. This can help people manage their finances more effectively.

 

Type Of Loan

Remaining To Pay

Interest Rate

Mnth Repayments


Mortgage
$150,000 6.9% $1,051

Car Loan
$20,000 9.0% $415

Credit Card 1
$9,000 16.5% $240

Store Card
$6,000 14.0% $200

Personal Loan 1
$19,000 12.5% $427

Personal Loan 2
$15,000 14.0% $349


Total:


$219,000

$2,682

By consolidating his debts, the borrower’s monthly payments are reduced from $2,682 per month to $1,049 per month. He is saving $1,633 each month.

There are times when it is not possible for a borrower to qualify for a new loan in order to consolidate existing debts. This may be due to lack of available asset security, or inadequate income. Those borrowers may qualify for other government approved debt relief.
If you are unsure what form of debt consolidation would suit you best, you can complete a short inquiry form outlining your situation or request a call back to discuss.