What is a Debt
It’s not uncommon for people to have more than one form of debt. One or two credit cards, a store card and a small loan that was taken out a couple of years ago might be hanging over your head and causing undue stress for your family.
Often, it’s not the size of the debt that’s the problem, but the sheer number of lenders and the corresponding repayments that need to be made. They might come from different bank accounts, at different times of the month and therefore be tricky to manage.
Debt consolidation is a way to combine all of your existing debts into one simple, predictable, manageable monthly payment.
There are three main benefits of using a debt consolidation loan:
- You’ll have just one monthly payment. Rather than multiple debt repayment direct debits and standing orders, you’ll have just one for all of your debts that leaves your bank on the same day each month.
- The interest rate will be fixed. The payment schedule and interest rate we provide you with will be fixed for an agreed term – no changes!
- You’ll avoid missed repayments. If you’ve got several debts to repay, it’s unfortunately easy to occasionally miss a payment. With a consolidated loan, this simply won’t happen.