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What is the difference between Debt Settlement vs. Debt Consolidation?

April 26, 2017debt consolidation Debt Settlement difference vs

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What is the difference between Debt Settlement vs. Debt Consolidation?

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There are secured and unsecured debt consolidation loans. A secured debt consolidation is when a consumer gets a loan that is collateralized by a home or vehicle to pay off their credit card debt, and then pays back the loan at lower interest since it is secured by property. An unsecured debt consolidation loan is when a consumer gets a loan from a bank, usually at a lower interest rate, to pay off their credit card debt. Debt Settlement involves negotiating with credit card companies and other creditors to resolve the amount you owe.