Debt Consolidation
Combine your hire purchase and other personal loans into home loan to save interest
Debt consolidation is the process of getting new loans from the bank with lower interest rates to pay off the present debts like a credit cards, lease purchases, personal loans, and vehicle loans with higher interest rates. The present loans that were gotten from the private lenders at rates from 10-25%, could be paid off and replaced by getting new loans from the bank at interest at home loan rates. This is gotten from using collateral so long the current loan is lower than 80% of the worth of your home.
Why Consolidating Your Debts?
The whole rate that you pay for your dues could be reduced when you replace with the credit card and the hire purchase loans with extra loans on the property, giving time to handle the different obligations and use of the money. Budgeting can be done easily when you track the loan repayment and not the bills in an individual manner. Consolidation of the credit card and hiring purchase debts at a lower rate will free up money that you can use for repayment of the loans at a faster rate. Since home loans have longer due dates than credit cards and hire purchases, taking this can allow more time for payoffs.