Consolidating debt can help you save hundreds or thousands of dollars in interest and lender fees. It may also make it easier to remember to make your payments as there is only one to make each month. What are some ways that you can instantly consolidate your debt and start saving today?
Apply for a New Credit Card
Many credit card companies offer 0 percent interest for the first 12 to 18 months. Some even offer no interest for up to 24 months for those who have good credit. Furthermore, you may be entitled to no interest on all balance transfers for a predetermined period of time as well. Applying for and receiving a credit decision only takes a few minutes if you do so online. You should then receive your card within a week and have the ability to transfer balances instantly.
Ask Friends or Family for a Loan
If you have friends or family members who are willing to pay off your debt for you, it may be a good idea to ask them for a loan. You will then repay what you borrowed at a fixed interest rate or under any other terms that are reasonable for both sides. This allows you to pay off your debt in a matter of hours, and you probably won’t get collection calls or letters if you are a day or two late making a payment to your friend or loved one. However, make sure that you do make the payments in a reasonable amount of time as failing to repay a loan could strain relationships.
Get a Personal Loan From a Bank or Credit Union
A personal loan will make it possible to pay off some or all of your outstanding debts. You can then repay the personal loan over a period of several years. In some cases, you may have up to a decade to repay it depending on the balance and other factors. A home equity loan would be an alternative to a pure personal loan, and they have repayment periods of a decade or longer as well.
Repaying your debt is something that you want to do as quickly as possible. Refinancing current loan balances by consolidating them into one new loan could keep borrowing costs down by reducing your interest rate. This may allow you to repay the loan quickly and at a cost that you can afford.