Consolidation loan – should I take it?

Personal finanses is area of life where we make a lot of mistakes. Large number of bad decision would bring us to real problems. Too much loans, too much unnecesery expenses and no savings.

It could all end up a catastrophe. What if interest rates go up? What if you lose your job and the new one will have a lower salary? Sometimes, even with no fault of ours, our credits become too big for us.

Is there an universal solution for that type of problem?

Yes, there is! When your loans installments become too big for you – think about consolidation loan. How it is works? Think about situation when you have:

  • 500$ installment for the car
  • 150$ installment for the fridge
  • 650$ monthly in two personal loans

Consolidation loan could β€œeat” all this payments and decrease it to one 500$ monthly payment. You can halved your monthly commitments. This type of loan pays back all yours loans and give you a new one with much lower installment.

What are the disadventages of that solution?

Of course there is other side of the coin. This type of loan extends the loans repayment time. Finnaly you will pay more interest. Unless you will use early loan repayment.

So if your situations with loans is bad – think about it. It is better than bailiff πŸ™‚


  1. I really like 3 steps system to get rid of the credits.
    First – consolidation load to lower as much as possible the monthly payments
    Second – working, investing in Bitcoin and whatever you can to get more money
    Third – repaying the capital of the credit ASAP

    It is not an easy way, but it is an only way!


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