With the news media increasingly publishing advice on how to survive lean economic times and with the average South African’s disposable income now 16 percent lower (in real terms) than it was in 2007, those struggling to balance their finances are advised to consolidate their debt into one single mortgage account.
Finding a Personal Consolidation Loan Using a Balance Transfer Consolidating Student Loans Community Q&A Loan consolidation can save you money if done right.
You consolidate loans by rolling all your little loans into one bigger one.
From managing multiple payments towards different lenders, to paying various interest rates across accounts - the whole thing can be an expensive process.
This is why many people choose to consolidate their debt into their home loans.
If you consolidate student loans, you have other options.
Consolidating your credit card debt, car loan or personal loan into your mortgage can be an effective way to reduce your repayments - provided that you restructure your debts the right way.
Not only can you simplify the process by making one regular payment towards your debt, but you can also save on rates and fees.
This is because instead of paying across various lenders, you will be paying just one.
You should get free debt advice before you consider taking out a secured debt consolidation loan, as they’ll not be right for everyone and you could just be storing up trouble or putting off the inevitable.
Before you choose a debt consolidation loan think about anything that might happen in the future which could stop you keeping up with repayments.
If they do refuse to consolidate loans into the bond account, it is always possible to change banks.