What kinds of debt qualify for debt consolidation?
Many debts can be included in a debt consolidation program. Generally, most unsecured debt can be included. For example, credit cards, medical bills, department store cards, student loans, taxes and bank lines of credit are examples of debt that are frequently consolidated. Secured loans such as house payments or car loans usually cannot be successfully consolidated. Also, any loan that has been cosigned by another person will require that the other person pay on the loan if you do not meet the original terms and conditions. Secured debt is debt that is secured by something tangible. In other words, if payments aren’t made, the security (a car or a house, for example) can be taken away. In general, secured debt should be paid before unsecured debt.
