I have a lot of high interest credit card (23+% APR) debt that I have been working on, and I already have 2 personal loans to re-structure my debt.
I have a credit consolidation loan offer for ~17% (still high, but would knock down my 3 highest debts to over 5% reduction in APR), but I am nervous to go through with it because I would then have a third loan.
I have 1 inquiry (Nov2019) on my credit report right now, so it would inquiry on my report.
The loan payment would be less per month than I currently pay on the debts I intend to use it for and, as mentioned above, the interest rate on the debt would be less… Should I do it?
Yes. Do you have a plan for staying out of debt?
Yes - I've been paring down spending and plan to minimally use the credit card that would be refinanced by this. (@colormycredit style - small charges to keep card "active" but paying fully)
@Kathleen that's great. I've dug myself out of debt twice. I realized I failed the first time because I didn't have a plan to stay out of debt. I didn't change my spending habits.. I just told myself I was going to spend less. I learned to manage my finances and it changed EVERYTHING. There are a LOT of books written on managing finances. The one that changed my life is Debt-Proof Living by Mary Hunt. I read it 10+ years ago and it continues to impact my financial decision making. Bless your journey!
Yes, I would most definitely do it! It would help you in so many ways and in the long run help yr credit
If you find a good one, let me know. :D
