To qualify for a consolidation loan you generally have to have proof of a stable source of income. Lenders are only going to approve you for an unsecured loan if they know you have the ability to pay it back. However, with a steady work history and a decent credit rating you can probably qualify for a loan amount for up to $5,000 or more depending on which lending institution you use.
If your credit rating is not quite up to snuff you can still qualify for a lesser amount and will probably end up paying a higher interest rate. Lenders as of late have become a little more lenient towards people with not so great credit. The key is to not give up looking for a lender that will work with you. Many have had great success with local credit unions.
Now when it comes to choosing which lender to go with, you’ll want to do a little shopping to try and get the best interest rate available. If you’re credit score is 700 or better, you will stand a better chance of obtaining a lower interest loan than if your credit rating is lower. One great resource for consolidation loan lenders is ABCLoanGuide.com.
By obtaining a credit card consolidation loan, you can pay off your debts quickly. The biggest advantage is eliminating several different high interest payments to only focus on one which will help you significantly reduce your monthly bills. Additional resources for advice on personal planning, savings tips for retirement and money management can be found at financialresourcesblog.com