Pros and cons of consolidating bills
Although this sort of credit may sound enticing at first glance, it can actually drag the consumer down further to financial quagmire.
If you have a bad credit, finding a debt consolidation company with a fair interest rate is not easy.
The longer payment term the better for you until you can get back on track again.
There are instances that debt consolidation contributes to further deterioration of your credit performance.
Old loans are lumped together and paid through a new single account by a debt consolidation firm.
The term of the loan is usually longer and with a lower interest rate.
Instead of automatically applying for a debt consolidation loan, it would perhaps be wiser to first seek alternative ways in getting financial assistance through other sources.
This approach will eliminate your problem of paying several accounts every month.The situation will be more favorable to you if you have a reliable regular income.