The loan for debt consolidation is a tool that allows those with multiple ongoing loans to consolidate them into a single credit line. In this way, the customer has only one counterparty for the repayment of all the loans taken out and, at the same time, the possibility of deferring the payments over time.
It is, therefore, a loan taken out in order to pay off the other loans in progress. The main advantage of the debt consolidation loans is the possibility of combining the installments of the various loans into a single installment, which is lighter.
However, it should be considered that the payment of a lower monthly installment leads to an extension of the amortization plan. We also remind you that in some cases by taking out a loan for debt consolidation it is also possible to obtain new liquidity.
Take a look at debt consolidaters
What are the advantages of personal loans for debt consolidation? The loan for consolidation is a practical solution for those who want to resolve their debts. But let’s see in detail what the characteristics of debt consolidation loans are and who can get them.
It is a form of financing that allows the union of several loans that have been activated. This merger leads to the creation of a single installment, which can be lower than the total of all the loan rates activated individually.
Given this reduction, the monthly amount to be paid will be less. It is also a useful opportunity from the point of view of practicality. We will have only one interlocutor to whom to repay the loan.
No specific real estate guarantees are required. More. Furthermore, if you are a pensioner or civil servant, you can request the transfer of a fifth of the salary as a loan payment.
There are, however, a number of disadvantages associated with personal consolidation loans. The loan period is extended and with it the percentage of the interest rate. To avoid nasty surprises, also check the Taeg before taking out this type of loan.
Who can get them
What are the requirements to access personal loans for consolidation? You must be aged between 18 and 75, be resident in Italy, be economically viable, and never have been listed as bad payers.
How to lower the installment of the debt consolidation loan
Those who wish to consolidate ongoing loans can also resort to debt consolidation mortgages. Like personal loans for debt consolidation, these loans allow you to pay off current credit lines, thus repaying only one loan.
Why choose this form of debt consolidation and how to lower the installment? Being a mortgage, this form of financing provides repayment plans that can extend beyond 10 years, which is usually the maximum limit for personal loans. Interest rates also tend to be lower.
Among the financial companies that grant loans for debt consolidation, we find the Best bank, which allows not only to bring together all the loans in progress into a single loan but also to obtain new liquidity.