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What is the best option to opt for - Consolidation or Settlement?

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What is the best option to opt for - Consolidation or Settlement?






Debt consolidation and settlement are both effective debt relief options. Consolidation is more suitable when you're struggling with multiple debts, but you are financially able to pay off your debts.

On the other hand, debt settlement is recommended when you are unable to repay the full balance that you owe.

Sub: #1 posted on Thu, 06/22/2017 - 06:22

sanderspatricia29 sanderspatricia29

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Your credit score may get a boost when you opt for consolidation but your score may drop by a few points if you opt for settlement. However, it primarily depends on your financial condition whether or not you're able to repay the balance in full (in case of consolidation) or a part of it (in case of settlement).

Sub: #2 posted on Thu, 06/22/2017 - 06:41

Good Nelly Good Nelly
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Debt consolidation may end up being the most useful for credit card debt as most credit cards come with high interest rates. However, since debt consolidation happens through a new line of credit, it will fail if your credit score is too low to be approved for the new loan. So, there comes the debt settlement option when you can't get a new loan or line of credit or practically behind on your payments.

Sub: #3 posted on Thu, 06/22/2017 - 07:16

Barbara Delinsky Barbara Delinsky

(Posts: 331 | Credits: )

Hello )))I have such a situation, a shortage of money to buy a car. I have a bad credit history. I would like to know the opinion of Internet users loans - where better to take a loan. please advise. use the search engine Google, did not inspire confidence. Please give a link and description of the company, which can provide 100% loan for those with bad credit history Thanks in advance

Sub: #4 posted on Thu, 06/22/2017 - 08:56

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Depends on your situation. Settlement is good when you wish to save on the principal amount. Consolidation is good when you want to save on interest.

Sub: #5 posted on Thu, 06/22/2017 - 22:47

SC SC
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Don't invite debts on your way by taking out loans with higher interest rate.
Save money to buy things.

Sub: #6 posted on Fri, 06/23/2017 - 04:54

sanderspatricia29 sanderspatricia29

(Posts: 787 | Credits: )

Yes, if possible, it is always better to improve credit score and then take out the loan to get a favorable terms and conditions.

Sub: #7 posted on Fri, 06/23/2017 - 05:39

Good Nelly Good Nelly
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If you want to buy a car now and definitely have a low score that is below the 500 or 600 range, then you’ll require a dealer who can handle that kind of loan. You can also secure your loan through a bank that has a relationship with the dealer.

Sub: #8 posted on Fri, 06/23/2017 - 06:32

Barbara Delinsky Barbara Delinsky

(Posts: 331 | Credits: )

Im not sure about this but recently applied for debt consolidation maybe it would work out better than the settlement

Sub: #9 posted on Thu, 06/29/2017 - 09:24

Gary Diaz Gary Diaz

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Gary - Did you apply for debt consolidation loan? Is it a secured loan or an unsecured loan.

Sub: #10 posted on Mon, 07/03/2017 - 03:09

SC SC
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