Can Christian Debt Consolidation Put An End To Your Problems?
Christian debt consolidation is essentially using credit from a new source to pay off bills from many other higher cost sources.
Now when you consolidate wisely this can actually help you pay off your balances quicker, at a better interest rate, all while improving your overall credit score.
And so, how can we be smart Christians and be sure that we are using consolidation loans to improve our finances instead of to further damage them?
Simple.
Follow these 3 easy rules to force the amount you owe to plunge and your freedom to soar!
- Before you even attempt to arrange to consolidate, you must be resolved to NOT get into any additional debt until your current obligations (including your new consolidation loan) are completely paid off.
- You must commit to paying off your consolidation loan as quickly as possible. You don’t want to take your current balance due and stretch it out over the next 30 years. Why? Because that is 30 more years of oweing someone money!
- Don’t consolidate fixed rate loans into a variable rate one that can increase over time. Your interest rate on your new combined loan must be lower than the interest rates on what you are consolidating. Don’t fall for the trap of moving 10%-12% interest rates to a 15% interest rate just because the payment might be lower.
So do you think consolidation might be right for you? Still not sure?
Either way, you may want to get the advice of a trustworthy nonprofit credit counseling service. This is even more true the more bills you plan on consolidating. If you don’t, you could find yourself on the wrong side of an expensive blunder.
Want To Avoid The Scams Online?
You need to be cautious of online offers for both Christian and regular consolidation services. They can easily turn out to be ridiculously expensive and often even full fledged scams.
Here are the warning signs to watch out for.
- Never pay upfront money to a company just because they promise to loan you “more than enough money to pay off your bills”.
- Never consolidate though finance companies. You will pay higher interest rates, more fees and in the long run damage your credit rating more than without consolidating.
- And never trust a company that says they will negotiate with all of your creditors for you and then loan you enough to pay of the lower balances that they negotiated. All you have to do is send them money monthly to cover your “new loan”.
I know, some of these “warnings” may seem obvious, but when you are in over your head and creditors are breathing down your neck, even a bad solution might be tempting.
Good luck finding the right Christian Consolidation loan for you!
And let me know who you used.
Chad