There are many people who owe credit card but they have poor credit. If you are one of them, you have to find the solution now. One of the most popular solutions is with loan. Debt consolidation loans for poor credit are recommended so much because it helps you pay off your debt fast. However, there are many things that you have to know related to it.
Who Offers Debt Consolidation Loans?
If you decide to look for debt consolidation loans, you have to know who offers it. Here are some of the most popular options where you can find debt consolidation loans for poor credit.
- Banks & Credit Unions
Banks and also credit unions usually become the first choices when people look for debt consolidation loans for credit. However, some banks & credit unions do not accept people with bad credit. If you are accepted, the interest rate may be higher than people with good credit. So, you have to pay more to pay off the loans.
- Payday Lenders
This is only recommended for those who have no other option to get debt consolidation loans for poor credit. It is appropriate for you who need cash fast and cannot wait for it longer. However, you also must pay it off fast. So, it is purposed for a short term loan.
- Debt Consolidation Lenders
It is typically similar to banks or credit unions. The interest rate is different from one to another because it depends on your credit. This can be a good idea for you who need debt consolidation loans for poor credit but you have to be careful. Make sure that you pay attention to the monthly payment and other important things.
- Consumer Counseling Agencies
For most people who need debt consolidation loans for poor credit, it can be considered as the best choice because it belongs to non-profit agencies. It means they still charge you some fees but it does not apply taxes so that the fees will be much lower than profit agencies. They work by helping you negotiate with your creditor to reduce the interest rate of your credit card.
- Debt Relief Companies
This is another option for those who look for debt consolidation loans for poor credit. They may offer some options for the solution such as Debt Management Plans and Debt Settlement.
Recommended Debt Consolidation Loan Companies
If you are interested in debt consolidation loans for poor credit, you have to find the best debt consolidation company for you. Here are some of the recommended ideas to consider:
This is the first option for you who need loans for poor credit. It allows you borrow from 500 to 35,000 dollars.
This is purposed for you who have bad credit and you can borrow from 500 to 5,000 dollars. The interest rate is from 5.99% to 35.99%.
This is another choice for you who are looking for debt consolidation loans for poor credit. The loans can be from 1,000 to 35,000 dollars and the loan term can be from 3 to 72 months.