It depends on what your goal is.
There are two types of consolidation.
One is you roll everything you owe into one big loan similar to paying everything off with a home equity loan that has a low interest rate. (Your goal is to pay off everything you owe)
If someone runs a credit report it will still show that you owe the same amount of money. $50k in debt to one creditor or spread out over 10 debtors is still $50k.
The advantage here is hopefully you will have a much lower interest payment on the debt. However your debt/income ratio remains the same.
The other method which is sometimes called "consolidation" is really nothing more than contacting your creditors and negotiating lower payments, reduced interest,...etc
Naturally business is pro debt consolidation because it means they will at least get some money out of you.
Keep in mind going this route does not mean your creidt rating will not take a hit.
However if your intention is to walk away from all debt than filing Chapter 7 may be the way to go.
The down side is a BK may stay on your credit report for up to 10 years. You will want to contact a lawyer for advice.
Best of luck!
If you want to know about the debt consolidation and its procedure then visit - http://www.galleryfinance.co.uk/consoli … tion-loans and get the all the information about the debt consolidation loans..
by Karina S.7 years ago
Debt consolidadation- is do it yourself -good idea?
by Daniel Mollat3 weeks ago
I've been reading about the use of long tail and medium tail keywords. Can someone please give me an explanation of these terms? What are examples of long tail and medium tail keywords? Is there such a thing as a...
by sid_candid6 years ago
Today one of my hub was unpublished by Hubpages stating that it is on a forbidden topic. I never knew debt which is one of the highest paying topic in adsense is a forbidden topic at Hubpages. I would request Hubpages...
by djkccj7 years ago
If I am already with a Debt Consolidation company and I feel that they are not on the up and up...can I change to another one? I picked this company because at the time I was in need real bad and was way behind. ...
by Bible Studies6 years ago
Does the warning mean it is unpublished, or that it may be unpublished later on?My hub breaking free paying off credit card debt is about budgeting. A snowball debt elimination in which you find out what is the best way...
by beckhamdavid6 years ago
How will I get a secured loan for my debt consolidation if I have already debt from others in UK?I want to know that who can gives me a secured loans if I already takes loans from others?
Copyright © 2018 HubPages Inc. and respective owners.
Other product and company names shown may be trademarks of their respective owners.
HubPages® is a registered Service Mark of HubPages, Inc.
HubPages and Hubbers (authors) may earn revenue on this page based on affiliate relationships and advertisements with partners including Amazon, Google, and others.