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  3. How to Consolidate Debt into One Easy to Manage Loan in Four Simple Steps

We know that managing debt can be difficult at times. It’s even more challenging when you have multiple sources of debt or loans to pay off at once. That’s why we’ve put together four simple steps to help you consolidate your debt.

Instant Finance's debt consolidation loans are designed to simplify repayments by combining all your existing debt into one easy-to-manage loan with one interest rate. Just think, no more stress and confusion trying to stay on top of your finances.

1. Make a list of your debt 

 

Before applying for a debt consolidation loan, it’s a good idea to note it all down so you know what you’re working with. This will help give you some clarity on your existing debt levels and understand the next steps in consolidating your debt into one loan.

 

2. Check with your existing providers if there’re any early repayment costs

 

Most lenders and loan providers charge an early repayment fee if you repay a loan before the end of the term. This fee covers how much the loan provider may lose due to the early repayment based on the amount of money owed at the time and the amount of time left on your loan.

Give your lender a call and ask them to calculate the actual early repayment costs. Make sure to add these to your list of debts and include the fee in your totals.

Check out our loan calculator too. Use the total of all of your existing loans as the amount to borrow. The calculator can give you a strong sense of what your debt consolidation loan could look like. From there, you should have a better idea of whether a debt consolidation loan could suit your situation.

 

3. Apply with us online

 

Our online loan application form makes the application process easy. Simply select ‘Debt consolidation’ under the ‘purpose of the loan’ dropdown menu and continue filling out the easy-to-follow form. When you’re done, submit your application and one of our friendly staff members will be in contact.

Got a question about the debt consolidation loan process? Drop into your nearest Instant Finance branch or call us on 0800 760 000. Our friendly and helpful team will take the time to understand your current financial situation. Our team take things like credit history, affordability and your requirements and objectives into account when discussing the pros and cons of debt consolidation with you.

If you aren't sure if a debt consolidation loan is right for you, take a look at our blog. The Ministry of Business, Innovation & Employment also offers guidance for consumers considering consolidation.

 

4. Manage your payments

 

Once your debt consolidation loan is complete, all your debt will be combined in one easy-to-manage place. You’ll know exactly who and when you have to pay – no more stress and confusion.

With a debt consolidation loan from Instant Finance, your interest rate is fixed for the life of the loan. This means you’ll always know the exact amounts of your repayments. Instant Finance is a responsible lender, which means that we complete a detailed household budget to make sure that you can make your repayments.

 

If you’re struggling to handle your debt, you owe it to yourself to look into a debt consolidation loan with Instant Finance.