For those looking for a solution to their numerous debt problems, debt consolidation is often the best financial resolution. It is an incredibly simple process with a wide range of benefits, making it the ideal option for those juggling more repayments than they can handle. There are various loan types available to those who are struggling financially, but here are the reasons why debt consolidation may be the right choice for you.
Focus on one debt
The concept of debt consolidation itself is very simple. It functions to collate all of the debts that you have into one loan. Once all of our debts have been combined, you will be left to focus on just one singular debt. This is likely to make it very easy for you to pay your dues as you will be able to keep track of exactly what you owe. Most debts that you have are able to be consolidated, making it a fast and efficient repayment method.
Accessible
Here at Trust Deed Scotland, we provide debt consolidation loans to suit you. We understand that no two debt problems are the same, which is why we offer debt consolidation loans that are personalised to suit your situation. In order to help you become debt free, a debt consolidation loan from us will reduce your monthly repayment and we typically ensure you only make one monthly payment. This helps to free up money for other living costs and helps to loosen the grip that debt has on your life.
Lower interest rates
Debt consolidation does not entirely erase your debt, but it can dramatically lower your interest rates. This means that you will only have to pay a reduced amount for your loan on a month to month basis. With a consolidated loan you will have better payment terms, where the total principal and interest authorisation are smaller than what you would be paying if your loans were not consolidated. By offering your home as security, you will be able to make your debts more manageable with plausible repayments.
Improve and protect your credit rating
When you are faced with numerous debts, there is always a concern that you won’t have enough funds or time in order to pay them all off. If your repayments are not made on time, you are likely to cause undue damage to your credit rating. This will then make it difficult to have a loan or mortgage again later in life. A debt consolidation loan will prevent you from default payments that will potentially damage your credit score.
Before you invest in a consolidated loan, you should always seek the advice of a professional. At Trust Deed Scotland, we provide a free debt advisory service that will help you to find a debt solution that’s right for you. Contact us today to find out more about our services.