DEBT CONSOLIDATION

Firstly decide if you will be in a better cash flow position. If the answer is yes, Debt Consolidation may be right for you.

By combining cards esecially you will be paying Principal and Interest of not just the minimum monthly payment each month which is generally 3% of the outstanding balance.

The payment performance on the credit facilities you are wanting to consolidate is very important. You will have to supply statements that show in the last 3 most recent months you have paid your credit cards on time and have not gone over the credit limit.

For Personal Loans you will need to supply statements that show the most recent 6 months have been paid on time.

Remember that internet statements are often not accepted because they do not show your name, account number and a running balance with the credit and debit history.

Your Broker will guide you further as to what is and is not possible.

Sometimes you still may be able to receive the amount you are after without the new Lender consolidating that debt.