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Debt consolidation service is the consolidation of all your loans into a single new loan. These loans are lower in interest and are specially designed to aid people facing too much debt and to reduce the debt. Sometimes it is called a debt loan.
yeh this is really a good information.rather these types of debt loan are required for insttitutions nowdays so what do you think is it required for individual or institutional. :wink:
Yes, debt consolidation loans are taken to avoid higher interest rates on existing loans. However, for obtaining a debt consolidation loan, you need to have a good credit score. To get a debt consolidation loan, you need to sign up with a debt consolidation company who can help you to arrange such loans to pay off the existing debts.
Why not just go to the bank and have them consolidate your loans. If you need a good score with the consolidation company then you also need one with the bank so there really isn't much difference unless the amount comes into play. What are the differences between the two?
great advice fireyone, if your score is not what you need it to be then work on it for a while before applying for a loan. Both types of financial institutions will look at your score and determine weather or not to give you credit and what your intrest rate will be based on your credit score and payment history.
I hear shortly they are going to be raising credit card rates again. If a person could get a loan through a bank they would see there debt disappearing a lot faster. If you look at your statement and see how much actually goes off the orginal amount after interest fees then a person could just imagine how many yhears this debt could take to pay. Going through a bank you can get rid aof bills in just a couple years instead of a million.