Posted on
April 6, 2008
at
6:54 am
I read an article on a site not long ago that points out where consolidation can be way more expensive than actually being disciplined and paying down individual debts instead. It really opened my eyes and made me think about how I chose to tackle my debt. After the article, I chose to use the 'snowball' method instead - being disciplined and paying down one debt at a time. The article was here:
http://www.mortgageloanhints.com/articles/consolidation1.html
Posted on
June 16, 2008
at
7:13 am
I think that it really depends...because this article that i found says it can be a good option.
http://uk.moneto.eu/financing/personal-loans/avoiding-debt/debt-consolidation/I think that it is for people that really have no other options because there debt just keeps on building and building. I mean there are a lot of different ways to manage your debt...and some work for a specific person while for another situation it would only hurt them!
Posted on
August 12, 2008
at
7:30 am
I think that debt consolidation is a useful tool in the strategy of debt elimination. It's certainly not the first step. The first step has got to be you gaining an understanding of how you got into debt in the first place then taking steps to develop better behaviors to avoid future debt issues.
Posted on
August 19, 2008
at
12:03 am
Both the articles are good. but soemtimes it becomes neccessary for someone to go for consolidation. i have friends who have been neck drowned in CC and other debts. they really got advantage of consolidation. the best p[art is the consloidating company takes care of all their debtors.vik
Posted on
September 30, 2008
at
8:35 am
I agree with Tony Dyer. Debt consolidation is only one of the steps in the process of controlling or eliminating debt. One of my work colleagues has consolidated her debts twice in the past 6 years by using the equity in her home. Unfortunately, she hasn't changed her spending habits, and is now in the situation where she has a bigger mortgage over a longer time period than she had originally, and is still spending on consumable items that won't appreciate in value.
Posted on
September 30, 2008
at
12:05 pm
Yes I think that some people have no other way out. They either consolidate or file for bankruptcy- I'd choose consolidate first. It might not work for everyone - but it does work.
Posted on
March 19, 2009
at
10:26 am
I guess the point I was seeing was that by consolidating debts, you're getting rid of your outstandint credit card debts, but you have a consolidation loan in its place. This step does NOT fix your bad spending habits that got you in trouble in the first place. This means many people will go and apply for a new credit card and begin the vicious cycle all over again. So now they have payments on a consolidation loan AND payments on a new credit card to keep up with. What needs to be fixed is not the outstanding balance on credit card - what needs to be fixed is the bad spending habits.
Posted on
March 21, 2009
at
5:51 am
can someone pls fill me in on the consolidation iss uenot really sure what to say about it
