Consolidate

Many people want to consolidate because they are struggling with debt but, in truth, it’s often too late by the time they look into it. In which case, you can contact NDA for debt solutions, advice and help.

When Not to Consolidate

• You Have to Secure the Loan

If you need to use your car, paycheck or home to consolidate your debt, the terms are likely to be shady and the rates high.

First of all, you are putting your car, paycheck or home at risk. There is always the chance that your finances could take a sudden knock. Leaving you unable to afford your monthly repayments.

This is a big no, no! It’s also a warning sign that you may be dealing with predatory lenders.

Also, you’re switching unsecured debt for secured debt. This is bad because secured debt is paid off over 20 years. Whereas, with NDA debt counselling, you can clear you credit record by settling your unsecured debt within 2-5 years.

• You Have Bad Credit

If you have a low credit score and want to consolidate, the benefits of consolidation are dramatically reduced. Finding a trustworthy lender is very difficult in the first place, as there are many unscrupulous lenders out there. Then, even If you do find a trustworthy lender, they will charge you high rates over a very long term, if you have a low credit score.

• Your Debt Exceeds 50% of Your Salary

If you can’t afford to settle all of your unsecured debts within 5 years and want to consolidate, debt counselling with NDA is definitely the better option for you. Once the outstanding balance on these debts exceeds 50% of your monthly salary, chances are you won’t be able to pay these off on your own and will need urgent assistance doing so.

• Your Credit Providers Threaten Legal Action

Don’t even try it! You will be wasting time, energy and money, when these things are critical at this point. You need to contact NDA at once. We will give you advice on what you should do next and protect you from your credit providers taking legal action against you.