Debt consolidation traditionally has negative connotations attached to it, but in reality it is one of the safest things to do economically.
Not only does it lower the interest rates on credit card debt and other extraneous debts, it can, at times, cut the time of loan repayment.
Through debt consolidation and other means of financial help, a consumer can again return happy with knowing that a definitive step is being taken to help alleviate debt.
Debt consolidation is very handy in dealing with extraneous debts and furthermore, it helps with the credit ratings because it is seen that the debtor is taking the necessary steps to get out of debt.
The average household credit card debt is $8,000 on six credit cards.
As more and more families continue to rack up the debt, it is vitally important to take the steps to get out of debt, especially in a time of economic uncertainty.
It is difficult to part with credit cards because the need and dependency on them is at an all-time high.
The right decision must be made, however.
If steps are not taken to alleviate the problem credit scores will continue to go down and the interest rates will go up.
It's a lose-lose situation if something is not done soon.
On average, a consolidated loans is paid off three years sooner than if the debtor did not take advantage of the consolidation loan.
Department store cards count as debt too and like credit cards, the rate of interest is often high.