Why consolidate debt?
Over time, many of us accumulate debt from multiple sources. These could include Home Loans, Credit Cards, Store Accounts and Personal Loans just to name a few.
Many Lenders are more than happy to continue to assist us in acquiring more and more debt so long as they get their slice. What they will NOT do is provide you with a structured plan for minimising monthly commitments.
Because of that, many of us end up making minimum monthly payments to try and control the cash outlay from within the family budget. What this means is very little if anything is actually being paid off the actual level of debt.
What if you could organise your debts into one single payment, and thereby reducing the monthly $$ actually needed to meet your commitments.
This is a real client example
Item and Interest RateDebtPayment
|Home Loan @ 5.8%||190,000||$1,025 pm|
Personal Loan Car @ 9%’
|Credit Card @ 19%||21,700||$1,051 pm|
Totals $224,200 $2,317 pm
The benefits after debt consolidation
- Consolidated to a single facility of $224,200 at home loan interest rates.
- Minimum monthly payments now only $1,092 not $2,317.
- A REAL MONTHLY SAVING IN CASH FLOW OF $1,225.
- Greater cash flow can now be used to actually pay down debt more rapidly.
- One single loan statement to refer to see where you are!!!