31 Ways to compare and appraise debt consolidation loan and program
|#||Questions||Consolidation loan||Consolidation program|
|1.||Does it offer free counseling?|
|2.||Does it trim down the outstanding balances?|
|3.||Does it reduce your monthly payments?|
|4.||Does it help you negotiate with your creditors?|
|5.||Does it help to slash interest rates?||?
The interest rate on the consolidation loan can be high if you have bad credit.
|6.||Does it stop collection calls?||?
The creditors/collectors can still call you.
|7.||Can your creditors register a case against you?|
|8.||Does it require you to pay a fee?|
|9.||Can you repay unsecured debts?|
|10.||Do you need to pledge security?||?
You'll have to pledge security in case of secured debt consolidation loan.
|11.||Is it an expensive way to repay debt?||?
If the interest rate on the new loan is high or the loan processing fee is high, then it can be an expensive way to repay debt.
|12.||Are you paying more money in total?||?
If the repayment term is very long, then you may end up paying more.
|13.||Does it assist you pay back secured loans?|
|14.||Does it make a positive impact on credit score?|
|15.||Is the repayment term short?|
|16.||Is it compulsory to draw up a contract?|
|17.||Is it offered by a bank?|
|18.||Does it require you to pay tax?|
|19.||Is it necessary to have equity in your home?||?
You need to have equity in your home when you are pledging it as security against the consolidation loan.
|20.||Can you clear your dues with single monthly payments?|
|21.||Does it help you ditch your debts?|
|22.||Is there any credit check?|
|23.||Can you still use your credit cards?|
|24.||Can you buy a property in future?|
|25.||Is bankruptcy a better option?|
|26.||Can you leave it in the midway?|
|27.||Does it help repay cash advance loans?|
|28.||Can you repay student loans?|
|29.||Can your property be foreclosed?|
|30.||Do you need to hire an attorney?|
|31.||Can you repay utility bills?|