Jump to content

Recommended Posts

I currently have approximately 9000 in credit card debt. This is dragging my score down. Will it be beneficial to apply for a consolidation loan at around 19%? Everything else is great, never miss a payment, own a home, truck financed over a year ago. I am trying to maneuver to get my score up, as to have better options to then refinance the debt at a lower rate. Is this something that would do more harm than good, or a solid idea? Thank you!

Link to post
Share on other sites

First things first...what are you looking to purchase in the next year that score matters?  You own a home, you have a vehicle.

 

$9K simply isn't a lot of debt.  It just isn't.  It makes no sense to flip it to a loan at almost 20%.  It just doesn't.  $9K is something that should be cleared inside of 15-18 months using a snowball plan. 

Link to post
Share on other sites

This isn't a yes/no question without more info.

 

What are the APRs on the credit cards?

 

Are you currently making minimum payments, or significantly more than that?  If you're only making the minimum, can you afford more (your minimum payments may go UP, depending on the term of the loan.

 

If you're 100% honest with yourself, do you have the discipline not to charge the cards back up?

 

 

Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.




  • Member Statistics

    • Total Members
      180,846
    • Most Online
      2,046

    Newest Member
    Thiarod
    Joined
×
×
  • Create New...

Important Information

Guidelines