All across the globe, there are individuals struggling with bad credit. Australian’s can also be included in this list and re-adjusting financial goals and strategies are likely to be a necessary course of action. One course of action that may help individuals improve their finances is to seek out debt consolidation options in Australia.
Debt consolidation loans are singular loans that take the place of multiple loans, by combining all desired loans into one. A benefit of these loans is that they can be taken out at a reduced interest rate. If a borrower has more than one loan with varying degree of interest rates, perhaps one or two at a higher rate – then securing one loan at a lower rate can make a significant difference in their ability to pay of their debts at a faster pace.
On top of that, as individuals are paying back several loans at a time, they are able to reduce these payments into one – and manage the loan repayment schedule with a lot more ease than before. This new payment is also likely to be lower and can help you save some additional money that can be used towards future payments and other expenses. Repayment schedules for debt consolidation loans are also more flexible, including a term that meets the needs of the borrowers. Possible terms may include a weekly, monthly, or twice monthly transaction plan.
As you can see through debt consolidation, you can help alleviate your debt levels. Moreover, there are actually multiple methods of consolidating your loans that may be more suited to various borrowers. Here are 3 debt consolidation options that residents of Australia can use to ease the weight of the debt they are living under.
1) CREDIT CARD DEBT CONSOLIDATION LOANS
This first method of debt consolidation that can be effective for improving debt, is combining all of your credit card debt into one consolidation loan. Typically, credit card debt can creep very high, very quickly and interest rates can also vary from card to card. If one or more of your cards have a higher interest rate, then it can be in your best interest to combine all of these cards into one, and secure a lower rate. If you are struggling to pay down your credit card debt, this may be the option for you.
2) LINE OF CREDIT EQUITY CONSOLIDATION LOANS
Borrowers in Australia can also use a home equity loan as a means of consolidating their debt. If you are a home owner and have secured equity in your home, then you can use this value as a line of credit that can help you pay down your debts, by grouping them into one loan. These loans are also typically offered with lower rates and again can make unloading debt easier than before.
3) CONSULT A DEBT-REDUCTION EXPERT
Ultimately, this last option is a good method for anyone who is unsure of which consolidation approach is best for their current situation. As a part of this process, you can engage in a consultation that will examine your type of debt, your overall expenses, as well as your employment sources and a review of your financial goals. This is an important step, as not all debt-consolidation plans are best for everyone. Additionally, by speaking with a specialist in this field, you may also determine whether debt consolidation or debt reduction plan is the best fit for you, based on your short and long-term re-payment objectives.
Where to Look for Loan Consolidation Options:
This method is one of the consolidation loans offered through sites such as Australian Debt Reduction group. You can review their site as and contact them online at http://www.australian-debt-reduction.com.au/debt-consolidation. This group have a long reputation of offering online support to consumers which can be performed through a financial assessment and help you decide if this form of debt consolidation is best for you. What is also excellent about this site, is that you can make inquiries without the obligation to pay fees or sign an agreement. By simply clicking the online inquiry link, you can find out in only a few seconds if their services will apply to you.
Additionally, you can request that a member of their team call you back so you can discuss your options in further detail. What I most like about this site is that they offer a variety of channels to contact them. If you are contacting them via phone, you can call any time of the day as they are aavaialhe 24 hour/7 day a week. The phone call is also free of charge. These calls also boast that it only takes 10 minutes of your time to find out more about the company and their services as they pertain to your personal financial situation.
Specific to debt consolidation of loans based on personal loans and credit cards, the company offers the following example to provide you with more insight into how this loan format can help you. For example, the company states that if you have loans that are as high as $30,000, and you are making monthly payments totalling close to $800, it is likely that you will want to pursue avenues that will reduce their payments drastically. Alternatively, if you choose to consolidate you debts into one loan, that not only will be set over a longer period of time, you can lower your monthly payment down by almost $300 – and will be able to instead make a more manageable payment each month of approximately $550.
You may currently have two or more personal loans or credit cards with outstanding balances totalling $30,000. The minimum repayment for all these debts is around $800 per month.
By consolidating all these debts into a single loan over a longer term, the amount you may have to repay could be reduced to less than $550 per month.
The Australian Debt Reduction Group, maintains a network of lending partners who can help you find the loans, you require. The Group can work on your behalf to put you in contact with these lenders and if you have bad credit, this may be a more convenient and less challenging method of obtain future credit, as well as finding a debt consolidation method that is the best fit for you situation.
This loan provider also specializes in offering loans to individuals with bad credit. In particular you can look to consolidate your debts through a home equity loan. Contacting them by email or phone, in similar fashion to the previous organization can be done with ease and no commitment is required. Expert advice can be obtained from certified specialists through this lender group and again they can help you determine if debt consolidation through home equity loan is the best course of action for you at this time. The ALC group has been providing services to Australians for over 20 years and they can act as a long term or short term partner if that is what you are looking for. You can apply online and the process takes only a few seconds of your time as well.
Ultimately, it is important to remember that you have options. There are many companies is your area that can help support you through your financial decisions. If debt consolidation sounds like it may be a good method of debt-reduction and you want to learn more about this process – you can look into this in further detail and browse some of the many sites that offer these services to residents of Australia. Keep your chin up – and your goal of paying down your debts over a shorter period of time can be achieved.