Lower credit card debt consolidating Live chat rooms
401(k) loans typically are due in five years, unless you lose your job or quit, in which case they’re due in 60 days.
When you’re juggling multiple credit cards, managing them all like a pro while paying down the balances can be a major challenge.
The idea behind a consolidation loan is to borrow enough to cover the balances on your credit cards.
Once the debt from your credit card companies is shifted over to the new lender, the balance on your cards will read as paid.
Wouldn’t it be nice to send just one payment every month and not have to worry about a variety of due dates?
Most credit unions offer their members flexible loan terms and lower interest rates than online lenders, especially if you have a low credit score.
» MORE: Pre-qualify on Nerd Wallet and get a personalized rate Pros: Back to top If you’re a homeowner, you can take out a loan or line of credit on the equity in your home.
A home equity loan is a lump sum loan with a fixed interest rate, while a line of credit works like a credit card with a variable interest rate.
If the average interest rate on your credit cards is higher than the loan’s rate, you will save money, though there is often an upfront fee of a few percentage points to take the debt on.
You’ll repay the debt over a certain number of years (usually from one to five years) with fixed payments.