By Nipapun Poonsateansup, CFP® Dependent Financial Planner
If you are feeling as an insolvent debt. Even paying the minimum credit card debt and then withdraw money from one credit card to pay the other card. But your financial situation is not better at all. Debt consolidation can be your solution. What is debt consolidation? You can find out from this article.
Debt consolidation is where we take all the debts that we have from many sources both bank and non-bank or from multiple credit cards to be included in the same place. By requesting credit approval with financial institutions to close all this expensive debt immediately and then choose to pay the installments as a return to the bank with a lower interest rate. Which is very useful for those who have the intention of closing all debts to have only one payment. Debt consolidation is useful because the existing debt that we have is a very expensive interest rate, such as non-bank debt when debts consolidated, we will get a lower interest rate.
However, debt consolidation must meet the conditions of providing personal loans of financial institutions by defining rules from the Bank of Thailand. But that does not mean that the borrower will be able to borrow in full amount in all cases. Each financial institution has different criteria for consideration. But most will look at past financial history, such as past installment history? What are the loans and what is the maximum limit? Those who have a good payment history paid on time, have a high chance of being considered by a financial institution.
Now that we already know what debt consolidation is. Let's look at the advantages of debt consolidation.
In summary, if you are experiencing more debt problems and less cash flow on hand. Consider the options of debt consolidation by comparison and find the option that suits you the most. However, the best way to deal with debt is having good financial discipline, do not spend more your ability and don't make more debt. Because everything takes time. If you don't give up, then you will be able to get out of the debt. And certainly, create a better financial position.
If interested in debt consolidation Whether it is a loan shark or in the system, can apply online at the website - here- convenient, secure and will be staffed to contact you within 24 hours of the business day.