I want to consolidate my credit cards, but when I always get rejected because of my debt to income ratio. How can someone with a high debt to income ratio get out of credit card debt?
Debt-consolidation loans. The appeal of consolidation loans is convenience. Instead of paying 20 different creditors who are charging different rates at different times of the month, you take out one big loan and pay off all those accounts. Then you make a single payment on that loan once a month. But ease doesn’t automatically translate to savings. Before you sign on the dotted line, be sure that the costs of the new, bundled loan will truly be less than what you’re already paying various creditors. For many consolidation-loan candidates, their current credit woes mean they won’t get the lowest-available interest rate. Plus, when there is nothing to secure the loan (such as your home), expect the lender to bump up the rate. Calculate interest and fees on all your existing accounts to determine the total of the payments you now make. Then compare those amounts with the consolidation loan numbers to make sure it truly is a better choice. And, as with any product, shop around. The bank d
Related Questions
- I want to consolidate my credit cards, but when I always get rejected because of my debt to income ratio. How can someone with a high debt to income ratio get out of credit card debt?
- Where is information on how to transfer balances on credit cards and consolidate credit card debt?
- How Is Debt To Income Ratio Calculated?
