Payday loan consolidation allows people to pay off multiple short-term loans using a larger loan. A payday loan debt can limit your expenditure, especially during the holidays. The question you are probably asking yourself is, should I consolidate my payday loans before the holidays? The holidays can be a big expense even for those not struggling with payday loan debt. A payday loan consolidation is the best solution, and here’s how to do it.

Questions To Ask Before I Consolidate My Payday Loans

• Am I serious about getting out of payday loan debt?

Payday loan consolidation works only if you aim to be debt-free. I have to change my lifestyle to consolidate my payday loans.

• Is my payday loan debt manageable?

When you compare your debt and income, can you comfortably pay off your debt in five years? If yes, that’s a green light to consolidate my payday loans.

Why Should I Consolidate My Payday Loans Before The Holidays?      

Payday loan consolidation helps you combine all your debts into one payment, which significantly reduces the debts’ interest rate. Below are other benefits of consolidating a payday loan debt before the holidays.

• A reduced monthly interest rate of all your debts
• Lower monthly payments
• Enjoy the convenience of making a single monthly payment.
• Your credit score improves since you make all your payments in due time.

Debt Consolidation Options

• Home equity loan: Homeowners can take a home equity credit line. Interest rates are low, and you are only required to make interest-only payments for the first ten years.
• Balance transfer: It allows you to shift all your debt to one credit card where a fee is charged. However, you don’t have to pay interest for up to 18months.  This option allows you to transfer even non-credit card debt. However, you need a good credit score to access this option, and you will be charged interest if you cannot pay within the stipulated time.
• Personal loan: You can get one from credit unions, online lenders, or banks. Look for the best interest rates. A personal loan allows you to incorporate fixed installment payments into your budget. However, it is also another form of debt.
• 401K Loans: Your retirement plan accounts are sacred; therefore, it’s not advisable to withdraw money from it. However, paying off debt is excusable. It is your own money; therefore, it will not show up on your credit report. A disadvantage is that you will be charged a penalty, and if you are unable to pay it all off, the balance may be taxed.

Solid Ground Financial

It is a company offering debt referral services. The company has counselors who help consumers establish a financial plan for their needs. The company offers a payday loan relief plan that allows customers to consolidate their payday loan debts, credit cards, and personal loans. The benefits of their plan include;

• Lower interest rates
• You are in control of paychecks
• No waiting period
• Attorney representation

Flexible and realistic payment plans