
California offers Payday Loan Consolidation.
Payday loans are not only a quick and easy way to access cash, they’re also a surefire way to get into debt. Consumers who are faced with unexpected bills, medical emergencies, home repairs, and other financial hardships often get these types of loans because funds are usually available immediately and without a credit check. If you are able to pay these loans off by their due date, then they can be a necessary convenience. For the majority of individuals who are not able to, it can be the beginning of an endless cycle of debt.
Consumers soon realize that payday loans come with extremely high interest rates, short payment schedules (usually 1-2 weeks), and other late fees and penalties. If they are not paid in full by their due date, a second loan is often taken out to pay off the first, and so a vicious cycle of debt is set into motion. In California, like many other states, payday loan consolidation is a viable solution to pay off payday loans and other forms of unsecured debt.
Options in California
In California, consumers can attempt to consolidate their payday loan debt on their own or retain an experienced loan consolidation company. If you decide on the latter, the organization you choose should have the proper categorizations for your needs. You should also consider the following:
- Are they A+ BBB rated or accredited?
- How long have they been in business?
- Do they have positive reviews/testimonials by clients?
- Do they have a national presence?
- Are they a properly defined non-profit organization?
These are just some of the criteria that should be used when selecting an organization to help with your debt consolidation in California.
Why You Should Consolidate
After researching and finding a reputable payday loan consolidation company that is properly licensed in California, you are ready to take the next step back to financial health. An experienced counselor will review your financial situation, including all of your active loans, and put together a relief program that suits your needs.
As its name implies, Consolidation often involves combining all of your payday loans and other unsecured debts into one new monthly payment. The new payment is at a significantly reduced annual interest rate (APR) and has a much longer payment term than that of the original payday loans. After consolidating, all of the interest, penalties, and late fees accumulated from the original debt are often halted, and you only need to focus on your new monthly payment.
In addition to having a new affordable payment with flexible terms, consolidation enables you to maintain good credit, lower your overall expenses, and will give you peace of mind. Only having to focus on one new monthly payment that is both stable and manageable will relieve you of the stress caused by payday loans and accumulating debt.
Take Financial Action Today
California (CA), like many other states, supports the consumers ability to consolidate payday loans and other unsecured debts when it is in their best financial interest. Chances are if you have accumulated one or more payday loans, you are a likely candidate for consolidation. If you are struggling to repay your current loans, and are receiving phone calls or letters demanding payment, it is probably a good time to take action. An experienced and reputable loan consolidation company can help you get your personal finances back on track and out of an endless cycle of debt.
Other States We Serve
In addition to California (CA), BSI also serves states in all of the following regions: Northeast, Southeast, Midwest, West.