Loan to Consolidate Debt

I'm not a big advocate of debt consolidation loans myself, but it depends on your credit rating. Obviously, a healthy credit score would definitely open up your options. Check with the bank you belong to. Also, credit unions frequently have great rates on personal loans.

Horrible credit, 20k in the whole between my wife and I and we've been low cred. people for a couple years now, we are so lost and want to fix this now....

Have you considered a debt consolidation program? Something to reorganize everything so you can afford to make payments? You'll be hard pressed to find someone legitimate to give you a loan with really poor credit. Any one who would lend to you would probably charge a horrific interest rate. Also, there are so many "poor credit loan company" scams out there.

yea i'm considering but i want the fastest way to improve our credit, i would just assume that getting a loan, paying what i owe to everyone else first, and then make monthly payments to the bank which would improve score anyway, until that's paid off, it just seemed like a logical thing imo...so, whatever is the best way to do this, please helP! lol

Your credit is not sound, needless to say that you will get highest interest rates. This is going to be very expensive in your situation.

You want to pay the debts through the new loan. This means that there is no change in the interest rates with your creditors. You didn't negotiate with them for a lower interest rate and to waive off the fees. You can actually negotiate with the credit companies for a lower payment plan. Go through the Do it yourself section http://www.debtconsolidationcare.com/diy/ You'll find good help there.

A good company will not extend loans to people who have bad credit. This can be a bad decision if you fall in some scam as Finsfan pointed above. I will drop the idea of taking a new loan for paying off the debts.

Use a consolidation program or settlement program. You will get lower interest rates, most fees will be waived off. All bills combined together under one payment plan with easy payment facilities. You will actually repair your credit in the right direction.

I believe I would see about a consolidation program/ settlement program before you try to get a loan. Improving your credit is never a quick fix. With a consolidation company they are able to talk with your creditors and get your interest/fees down for you. Also, you can pay extra on your monthly payments with the program to get your debt paid sooner and then the good consolidation companies actually help you repair your credit when your finished with the program.

I tried to get just a small loan from my bank, but got turned down due to something called debt to limit ratio. The more your credit cards are close to their limit, your sunk! I went debt settlement. I know it will take a longer time, but it was the only option other than bankruptcy

I filed bankruptcy in 1998 and yes it was nice not to have to worry about the debt anymore but my bankruptcy will stay on my credit reports for 2 more years, which doesn't help my credit any. Have you talked with anyone about debt consolidation? Right now I am using a company called Credit Consultants and they have been really good so far. Bankruptcy should really be your last resort.