You’ll need a good to excellent credit score — above 690 — to qualify for most cards.
Options to consolidate your credit card and other debts include a balance transfer credit card, an unsecured personal loan, a home equity loan or line of credit and a 401(k) loan.
The option that best suits you depends on your overall debt load, credit score and history, available cash and other aspects of your financial situation, as well as your self-discipline.
A solid, reputable company will offer multiple bill consolidation plans and share the features, benefits, and risks of each with you.
In addition to helping you determine the best way to consolidate your debt, a good company will offer financial education, guidance, and support as you make your way out of debt - setting you up for a lifetime of strong debt management and financial success.
You can’t borrow your way out of debt in the same way you can’t get out of a hole by digging out the bottom.
Getting out of debt isn’t quick or easy, but it’s the first step to achieving lasting financial health. It simply means you’re taking out one loan to pay off a bunch of loans—or consolidating the debt to one payment.
Myth: Debt consolidation saves interest, and there’s one smaller payment.
Truth: Debt consolidation is dangerous because it only treats the symptom.
Consolidation works best when your ultimate goal is to become debt-free.