The headline asks if debt consolidation is a good idea. The answer depends on whether you qualify for lower rates and can manage the new monthly payment. So the entire premise requires you to be financially responsible enough to get approved for better terms while simultaneously being irresponsible enough to need debt consolidation in the first place.
This is like asking if a diet is right for you as long as you have the discipline to stick to it. If you had that discipline you wouldn't be googling debt consolidation at 2am while eating gas station nachos.
The article helpfully notes you need multiple high-interest debts to make this work. Multiple. As in you f*cked up more than once and kept going. That takes commitment. Most people quit after maxing out two credit cards but you went for the hat trick.
Here's the actual math. You borrowed money you didn't have at rates you couldn't afford to buy things you didn't need. Now someone's offering to let you borrow more money to pay off the first money. The new loan has a lower rate but a longer term so you'll pay less per month and more overall.
Congratulations. You just refinanced your way into being poor for an extra three years.
The piece promises to tell you where to find a loan. Brother, the loans will find you. You're exactly who they're looking for. Your mailbox is already full of pre-approved offers with names like QuickCash Financial Solutions and rates that start at 24.99% APR for qualified borrowers, which you are definitely not.
But sure, consolidate away. Turn five mistakes into one bigger mistake with better branding.
Photo by Towfiqu barbhuiya on Unsplash
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