Posted on July 7, 2009 at 1:58 pm There are many disadvantages of debt consolidation likeUsually offer you a high interest rate then other loan.It is risky as the interest rate is very highSometime it will not be possible to get approved to debt consolidation.It allow small amount of loan depending on your other factors like income etc.You may get more detail about debt consolidation from

Posted on July 7, 2009 at 2:11 pm Again this is just brutal. If anyone needs to know what the disadvantages are of deifferent debt consolidation approaches feel free to ask so we can provide you with beneficial information.

Posted on July 7, 2009 at 2:37 pm One disadvantage of taking out a home equity loan to pay off credit card debt is the fact that you are turning unsecured debt into secured debt. Essentially, you put your home at risk if you run into problems making your monthly payments to the lender at any point in the future. One disadvantage of credit counseling is the fact that not all lenders are willing to lower the interest rates. One disadvantage of debt settlement is the fact that accounts must be past due in order for the creditor to negotiate.

Posted on July 17, 2009 at 1:52 am this is just me, but I'd rather consolidate my debt than file for bankruptcy. cos I know my credit will get better in time after the consolidation program is over. Bankruptcy has long term effects on credit that are hard to get over with. if i only knew that sooner i would not have filed for bankruptcy a few yrs ago

Posted on July 19, 2009 at 11:01 pm Check it below The Disadvantages of a debt consolidation loan    * Can pay more over a longer period.    * May incur additional costs for setting up the loan.    * If secured, your property may be at risk.    * You will be left with only one creditor - this can make it difficult to negotiate should you have further problems in repaying your loan.    * If the loans you are consolidating have all the interest added at the start you may in effect be paying interest twice. The interest charged for the first loan and the interest charged for the consolidation.

Posted on July 20, 2009 at 6:30 am Does a Balance Transfer achieve the same results that jhones.hamilton illustrates? I believe it is also another form of debt consolidation that can be used

Posted on July 20, 2009 at 7:03 am if memory serves me right, debt consolidation also do not stop collection calls. the lender will still persist in collecting the bill and attempt to get an actual payment from you

Posted on July 20, 2009 at 7:28 am Liszt- that is true if you are enrolled in a debt settlement program or if you are behind on your monthly payments for any reason. However, if you take out a debt consolidation loan- you pay off your credit cards right away, and then you are only paying back whoever gave you the loan, so you would not be getting any calls from the credit card companies anymore. Keep in mind that if you fall behind on the loan payments at any point you are sure to get a phone call. So again, the disadvantge of debt consolidation depends on how you consolidate your debt. A reminder as to what is generally defined as "debt consolidation": 1) Unsecured debt consolidation loan. 2) Secured debt consolidation loan. 3) Credit counseling. 4) Debt settlement. 5) Chapter 13 bankruptcy. 6) Transferring high interest balances on to a credit card with a low or 0% interes rate. If anyone wants to know the specific disadvantages of any of the listed debt consolidation options  feel free to ask and I will do my best to give you some insight.

Posted on July 20, 2009 at 7:30 am The animal- a balance tranfer is when a person transfers the money they owe on a high interest credit cards on to a credit card with a 0% or very low interest rate. As a result you pay back less over time in interest to the lender. So, as Steven mentioned, this can be considered a form of debt consolidation since you are converging multiple debts on one card and as a result only have to make one monthly payment.