Plenty of attractive goods and sets in the market
+ Smart bankers ready to finance your dreams and aspirations
= Rapidly multiplying debts and EMI obligations
And before you realize, many small bills add up to a hefty amount that threaten to take away most of your salary… every month.
If your debt problems are however to unprotected to serious dimensions…
If you haven’t nevertheless crossed that all-important point of no return…
… there is a cure to solve all your debt worries.
Known as ‘Consolidation of debt’ in financial jargon, it simply method replacing many small debts with one or two large ones. This may, on the confront of it, not sound as a very big deal. However, the effect can indeed be quite magical. As I repeatedly exhort, keep things simple. Simple investments, simple insurance, simple debts, etc. are sufficient enough to give you an excellent financial life. You don’t need any complicated products to make you high.
Consolidating your debt simplifies your debt profile as it has the possible to lessen your burden in many different ways.
Lesser are the loans to service
As you would have experienced, keeping track of several loans and trying to pay various bills by the due date is a monotonous affair. already when you have to ability to service all your debts, it is easy to miss payments when the number is large. And within no time it can balloon into a enormous problem. When you consolidate all your debts into one or two, you get a much better perspective of your financial picture and your debt problems appear much less upsetting.
Lesser is the interest outflow
Different debts carry different rates. Also, there is the additional penal interest whenever you default. When you take a single loan to pay off multiple debts, the interest payout on this new loan is almost surely lower than the sum total of interests on many individuals loans. This is a double bonanza. One, your monthly payout reduces. Two, lesser payout method more money in hand, which can be helpful in accelerating your debt reduction. So within a short period of time you will see a rapid decline in your limitations.
Lesser is the time pressure
One of the meaningful aspects of too many debts is too many missed payments. Naturally, consequently, you are under immense pressure of these numerous unpaid bills. And, despite your good intentions, you may have no method to pay them all off at one go. What if you get an opportunity to repay the overdue amount in instalments? Combining debts comes to your rescue by staggering these noticeable payments over a longer time frame. With the pressure off, you start rebuilding your life with a lot more peace of mind.
Lesser is the harassment
Many debts method many forgotten bills. And many unpaid debts method many unhappy lenders. Many unhappy lenders method many foreclosure notices and many threatening phone calls. One or two creditors, post consolidation, method lesser chances of not remembering your due dates. No delays method no more harassment.
Try it out… now. You won’t regret.
You may also like to read ‘ 7 Ways to Manage Debt ‘.