There are also several consolidation options available from the federal government for those with student loans.
Theoretically, any use of one form of financing to pay off other debts is practicing debt consolidation.
However, there are specific instruments called debt consolidation loans, offered by creditors as part of a plan to borrowers who have difficulty managing the number or size of their outstanding debts.
Creditors are willing to do this for several reasons – one of them being that it maximizes the likelihood of collecting from a debtor.
Does it feel like you’re always making monthly payments?
Depending on where you are in life, you may have a variety of loans and bills, including student loans, auto loans, or credit card debt.
Using a personal loan for credit consolidation could substantially lower how much you pay in interest.
It's also essential that you read the terms and conditions of any offers carefully to ensure you're getting as good a deal as you think you are, and watch out for additional fees.
If you move your debt to make it easier to pay back, it's very important that you don’t spend any more on the card.
When you consolidate your debts, you replace several debts with one larger loan.
One method of consolidating credit card debt is to transfer the balances of multiple credit cards to a new one.