Free Debt Consolidation Loan Quotes

Posted by Nick Niesen on October 29th, 2010

Are your monthly bills piling up so high that you need an oxygen canister to climb to the top? If you?re anticipating being unable to make payments as they come due, take heart ? there?s a way out. In case you haven?t yet heard of debt consolidation, is a single loan that is used to pay off all or most of your existing creditors. Debt consolidation can help your financial position in these ways:

1. Payments on your debt consolidation loan total should be lower than your current payments.

2. The interest rate should be lower than what you pay now. But be sure to factor in any late fees you?re now paying.

3. It gets your creditors off your back ? for a while, anyway. Your debt consolidator will eventually come after you if you fail to repay your new loan.

The first step you need to take is to obtain a debt consolidation quote. These are available for free both on and off the Internet. There are many options ? credit repair firms, specialized debt consolidation firms, banks, and credit unions among them.

Check out all the options and get free quotes from more than one. Don?t simply accept the lowest bid - consider the following:

Investigate their reputation ? Don?t even consider a company with a web presence but no physical address, or one that has either not joined the BBB or has a bad BBB record. If you can find a company nearby, visit them in person. If not, then at least speak with a representative by telephone.

Find a company that will negotiate with your creditors ? that way you end up with a lower loan principal.

Once you have checked all the institutions that have offered you quotes, choose the one you want to go with after evaluating them based on the above factors. And remember, however you got into your mountain of debt, stop doing whatever it is that got you in this mess in the first place!