Debt Consolidation Calculator

Debt Consolidation Calculator

KEY TAKEAWAYS

  • Debt consolidation is a method of repaying multiple debts where you take out a new loan and, in doing so, merge your various debts into one monthly payment.
  • There are various types of debt consolidation, such as cash-out refinance loans, home equity loans (HELOANS), balance transfer credit cards, retirement accounts, and debt management programs.
  • While debt consolidation can help you pay off debt and get your finances in order, you may have to pay some upfront costs and missing payments on the new loan can damage your credit.
A person types on a calculator and writes in a notebook while multiple credit cards and cash are scattered nearby.
Written by Bill Lyons