Wise Spend Tip: Consolidate Debt

Amanda Peterson

March 1, 2023  •  2 Minute Read

Money Saving Tips

With Tax Season here, now is a great time to look at paying down some debt. Wednesday's we tend to focus on where to spend out money wisely. However, sometimes we need to focus on reducing that debt, to allow our credit to build back up. Let's dive into the topic of Debt Consolidation.

Useful Tips on Consolidation

Our CreditSoup.com blog hosts TONS of articles on consolidating debt. I will highlight a few of them here.

1. 4 Ways to Pay Down Debt

If you simply have just WAY too many cards with large balances on them, or even outstanding loans for that matter, consider either a low interest bank loan, or a balance transfer credit card. You will be able to make ONE payment versus several with varying interest rates in which you'll end up paying more than you owe.

2. How Debt Consolidation Can Help You Save Money

Overwhelmed with credit card debt? You’re not the only one. According to Experian, the average credit card balance is $6,194. Credit cards tend to have high interest rates — the Federal Reserve reported that the average APR is 16.97% — which can cause your balance to grow over time.

3. Pros and Cons of Debt Consolidation Loans

If you’re determined to pay off your debt as quickly as possible, taking out a debt consolidation loan can make a lot of sense. Here’s what you need to know about the pros and cons of this strategy.

4. Best Personal Loans for Debt Consolidation

If you want to get out of debt this year and know a personal loan could help, it’s smart to compare loan companies to see what they can offer. Read on to learn about the services that offer personal loans with low rates and could help you save money on interest, pay down debt faster, and simplify your financial life.

From the Archives

And here are some oldies but goodies, for financial merit:

1. Simplifying Debt Consolidation

While many may have heard of this term, to a consumer that is new to credit, the whole process can be a bit confusing. We discuss what it means & what purpose consolidating debt has.

2. Debt consolidation as a type of Stress Management!

When people refer to stress management they usually talk about stress balls to squeeze, getting a massage or taking a pill. When we talk about debt management it means we can’t squeeze another penny out of our pocket for the bills, massage our accounts to work in our favor and there most certainly isn’t a magic wand or pill to solve the problem.

At the End of the Day

Getting behind on bills can happen to anyone with debt. If this is a regular worry of yours, consider a different approach. Even if you can usually pay your credit card bills on time each month, carrying a lot of debt is harder to manage. It stops you from saving as much as you could and may keep you in debt longer than necessary. Debt consolidation makes you breathe easier by only having one payment to manage each month. For more tips on saving money & digging yourself out of debt, follow us here at CreditSoup.com.