Debt Consolidation Loans

Are you juggling multiple loans? Debt consolidation helps to tie these all up into one easy, simple and manageable package, usually with a lower interest rate, so you just have one repayment.

How debt consolidation works

Consolidating debt works in the same way as a loan refinance. It involves taking all of your current loans and combining them into a new plan customised to you. Sometimes people want to refinance in order to lengthen or shorten their loan terms, whereas others refinance with the aim of reducing their interest rates. Debt consolidation is no different, apart from the fact that it ties all of your current debts into one that you can more easily afford and manage.

It is important to note that a new debt consolidation loan may decrease your monthly repayments to provide debt relief but a longer loan term however may mean paying more overall in interest.

Debts Simplified With only one creditor

Debt consolidation loans combine all of your loans, debts and credit cards obligations into one easy-to-manage loan. With your debt consolidation loan you pay one payment and one interest rate — sometimes a smaller interest rate than your original one. The process also simplifies paying off your debts since you only pay one creditor — rather than multiple.

If you find yourself struggling to manage your debts, our friendly team at Australian Lending Centre can give you the information you need to see if a debt consolidation loan is right for you.

Process of Debt Consolidation

Benefits of Debt Consolidation

By consolidating your credit card debt, as well as your other existing debts, you can benefit from:

Bad Credit Debt Consolidation

If having multiple debts has led you towards missing loan repayments then don’t let your credit score suffer any further. Debt consolidation with bad credit is a real solution which can not only simplify your finances, but also improve your credit score in the long term, providing you with opportunity to access finance more easily and with better rates and terms in the future.

Just like with any form of bad credit finance, interest rates will naturally be higher with a bad credit debt consolidation loan, since you are considered a ‘high-risk’ borrower, however by having a clearer and more manageable repayment structure, keeping up with repayments will be much easier and you can expect to see your credit score improve over time.

Keeping up with repayments is crucial if you have bad credit because:

Types of Debt That Can Be Consolidated

Debt Consolidation Australia FAQ's

What are Your Debt Consolidation Options?

Secured and unsecured debts can pass through this type of agreement. High interest credit cards, medical bills and cash advances can also be placed in a debt consolidation program.

With Australian Lending Centre, you have over 20 years of experience in personal loans and business debt consolidation. We can assess your current financial position and recommend the best debt consolidation loan, debt management, or debt agreement options to help you pay off your debt and your life and finances back on track!

What are home equity debt consolidation loans?

If you have equity in your home, you can use that to secure a debt consolidation loan plan. Your home acts as collateral so that we can secure you better interest rates.

This means you can access funding at an affordable, low-interest rate and this will streamline your monthly payments. This means you can pay off the high-interest cards and debts, to make one single payment with a great new low rate.

My debt is out of control, how can you help?

Too often the debt grows for years getting out of control. Ignoring the debt is easy, but as it builds it becomes harder and harder to see a way out. When you find yourself under the weight of too much debt to handle or your debts are eating away your wages, debt consolidation may be the financial solution you need.

Thousands of Australians have taken advantage of consolidation to make their monthly expenses more manageable and pay back their debts without filing for a debt agreement or bankruptcy.

The friendly team at Australian Lending Centre can give you the information you need to see if debt consolidation loans are right for you. There are also other options for debt management and we aim to find the right solution for your circumstances.

Why Paying Off Multiple Debts is So Hard

If you have a a couple of credit cards, store cards, car finance, student loan and/or buy now pay later loans, it can be like juggling. You need to ensure that you have money in your account when each payment comes out and it can be stressful trying to keep track. Sometimes, when everything comes out at once, you can miss a payment. Then you may be charges a late fee or you have not even realise, and have a default on your credit history. The situation is confused even more with additional fees and interest rates, meaning that it can seem impossible to make a dent in the debt, even if you keep up with payments.

The situation can easily get out of control and paying everything off to become debt free and start saving can seem impossible.

This is where a debt consolidation loan can be really helpful.

Options when you are trapped in a debt cycle

The most common debt traps we see are a combination of credit card debt and payday loans. While credit cards and payday loans are great for emergencies, they don’t solve the problem and become very costly if you can’t pay the money back right away. The debts compound with fees and interest, and you often go backwards even if you make regular payments.

At Australian Lending Centre we know what people are going through and want to help you find the most suitable solution to put you in a more positive financial situation. Our debt solutions range from debt consolidation loans, which are suitable for many people, even with bad credit, to debt management programs, where we can assist you with negotiating your debt down, lowering or freezing interest, and helping to make debt arrangements with your creditors. Many people thing that Part IX Agreements or Bankruptcy are their only ways out of a seemingly endless cycle. There is always a solution, even if you can’t see it yourself. Talk to us, or enquire today to find the light at the end of the tunnel.

How do I apply for debt consolidation?

Applying for debt consolidation is fast and efficient process and you could receive funding within as little as 72 hours after enquiring. After taking 30 seconds to fill out our online enquiry form, a loan specialist will be in touch to discuss your situation and find a finance solution to suit you. The Australian Lending Centre has helped thousands of Australians in the same situation as you.

We help people who may not otherwise be able to get a loan. When the banks or other traditional lenders say no, The Australian Lending Centre is able to offer flexible terms, reasons rates and look beyond your credit report.