What is Loan Consolidation?
Loan consolidation is the act of combining multiple debts into one single loan and one single payment. A consolidation counselor usually begins by evaluating all current loans, noting balances, interest rates, and terms. With this information, a counselor can easily determine the benefits of a consolidation. When working with a reputable payday loan consolidation organization, you’ll be invited to enroll in a program that will be affordable and suitable for your income level, and you’ll be able to see your monthly savings and your total savings over time before committing to the program.
Are Payday Loan Consolidations Worth It?
Most financial decisions carry the answer of “it depends” but when the consolidation includes payday loans or other very high rate, short term unsecured loans, the answer tends to usually be a firm “Yes.” Since these types of loans have a repayment schedule that is very costly to the borrower, consolidation often results in a substantial savings. The amount of savings is amplified even more if there are penalties and late fees involved in the current debt summary.
$0
Evaluation Fee
There is no fee or cost to receive an evaluation from a BSI representative.
$0
Decline Fee
After Evaluation, there is no obligation to enroll into a BSI consolidation program.
15
15 Minutes
The average time it takes to complete an evaluation is 15 minutes.
“Consolidating payday loans offers multiple benefits, including stoppage of interest charges, fees, penalties, creditor phone calls, late letters, etc. Most importantly, the savings put money back in the pocket of the consumer immediately.”
Thomas L.
Halt Compounding Interest Charges on Most Payday Loans
When interest charges are accrued weekly, then left unpaid, these fees will accumulate faster than can be imagined. Tacking on late fees only compounds the issue even further. Short term loans like payday loans carry a heavy repayment burden that often requires a plan of action to recover from, and BSI offers this solution of relief to consumers of such debts.
Instead, Save for a Rainy Day
It can be very overwhelming to try to keep up with the demands of repaying high interest debt. Instead of constantly facing payday loan payment due dates, a consolidation will allow you to live on the other side of the financial equation, where you can build your own reserve fund through savings. When you can rely on a savings account instead of a lender to get you through unexpected expenses, you are winning the financial battle on multiple levels. You will be avoiding interest, origination charges, along with potential penalties and late fees. Having a six month reserve in savings would be an ideal goal towards securing financial freedom from payday loans and other types of emergency loans.
Taking Action
If you have accumulated one or more payday loans, you are likely a candidate for a consolidation. A loan consolidation company can walk you through an evaluation and presentation of a program that will offer many financial benefits. After the program is explained to you, you will have the choice to proceed or pass on enrollment. At BSI, we believe that knowledge is helpful in making wise financial choices, and we will be happy to explain our programs and answer any questions you may have to help you make the best decision for improving your monetary situation.