Clara's best debt consolidation.

Find the right debt consolidation for your business on Clara.

Payoff's personal credit card debt consolidation loans offer U.S. residents with a credit score of 640+ an opportunity to consolidate credit card bills into a single and fixed monthly payment. Those with good credit history will qualify for the best rates ranging from 5.99% to 24.99% and a payoff term of 24 to 60 months. Loan amounts are offered from $5,000 to $40,000.

Visit website
OneMain Debt Consolidationby One Main Financial

OneMain allows you to consolidate credit cards, household bills and installment loans.

Visit website

Upgrade's personal loans can be used to consolidate debt from $5000-$35,000. Upgrade also offers a credit card loaded with up to $20,000 that can also be used to consolidate loans.

Visit website
Table ComparisonLoad more products
Clara's guides

Guide to debt consolidation.

What is Debt Consolidation?

Debt-consolidation is a way to combine all your credit card debts, personal and car loans and other debt into one easier to manage loan, ideally with a lower APR. Check out our full list of debt consolidation products here.

We also recommend before doing any debt consolidation to check out Score Master they help up your credit score so your loan could be cheaper. 

How does debt consolidation work pros and cons?

How does debt consolidation work?

Your new lender will pay back all your loans, add up the entire value of this loans possibly charge a fee to do so and then set out new payment terms including payment frequency and days and a new interest rate. Once you're happy with the new terms your new loan will be issued and you'll make one payment instead of multiple payments to your new lender.

Pros of debt consolidation?

1. You'll repay your debt sooner

Just the process of getting all your debt into one place makes it easier to see an end to debt payments. Typically credit card debt is expensive and has no end date so this should help define a deadline (as the lender will set monthly payback amounts and a timeframe.)

2. Easier finances

It's easier to manage one payment than multiple payments with a multitude of dates, it's also easier as the amount is the same each month so you can easily budget for that set amount, given there is only one date it also means you're less likely to make a late payment and have to pay the fees associated with a late payment.


3. Cheaper interest rates

If a lot of your debt is credit card debt, this is typically very expensive with fees and interest at an average of 16%. The average consolidation loan is around 10-12% based on your credit score and can even cheaper if you have a good job and credit.

4. Improves your credit score

It's true that the initial debt consolidation loan may lower your credit score since it requires a hard credit pull (basically a credit check.) However over the life of the loan your credit will improve as you're more likely to make on time payments. Payment history is a big part of your credit score, so paying bills on time significantly raises your score.

Cons of debt consolidation?


1. It won’t solve all your financial problems

Just consolidating debt without being able to pay it down or avoid more debt won't help by itself. We recommend also budgeting if you haven't before to stay within your means. There are plenty of great budgeting apps out there like YNAB, Mint and many others or you can go at it the old school way using a Google Doc or Quip. 

2. There may be some upfront costs

Some debt consolidation loans come with fees. These may include:

  • Loan origination fees
  • Balance transfer fees
  • Closing costs
  • Annual fees

Our list of debt consolidation loans should help you work out these costs, check it out here.

3. You may pay a higher interest rate

If your credit score is a low then the rate could be higher than the personal loans you may have got with a better credit score. Again if it's mostly credit card debt you're consolidating then it is likely your interest rate will be lowered, it's very dependent on the loans you want to consolidate and your credit score before you took them out and now. The term of the loan also changes the interest you pay, a longer term loan looks cheaper as the weekly or monthly payment is cheaper but longer term you'll pay more.



Debt consolidation Ohio

There are a number of debt consolidation offerings for those living in Ohio:

Payoff
Marcus
Lightstream
Sofi
Upstart
Lending Club
Best Egg
Avant
Discover
Penfed

See the full list here.

Debt consolidation ct

There are a number of debt consolidation loans for those living in Connecticut:

Prosper
Wells Fargo
Discover 
One Main Financial 
Payoff
Marcus
Lightstream
Sofi 
Upstart
Lending Club
Best Egg
Avant
Discover
Penfed

See the full list here.

Debt consolidation Hawaii

Debt consolidation loans Hawaii:

There are a number of debt consolidation loans for those living in Hawaii:

Prosper
Wells Fargo
Discover
One Main Financial
Payoff
Marcus
Lightstream
Sofi
Upstart
Lending Club
Best Egg
Avant
Discover
Penfed

See the full list here.

Debt consolidation Maine

Debt consolidation loans Maine:

There are a number of debt consolidation loans for those living in Maine:

Prosper
Wells Fargo
Discover
One Main Financial
Payoff
Marcus
Lightstream
Sofi
Upstart
Lending Club
Best Egg
Avant
Discover
Penfed

See the full list here.

What lenders should I beware of?

Who are Hornet Partners?

Hornet partners have a bad reputation as they send our pre-approved debt consolidation checks but aren't a lender, they are a marketing service for debt consolidation companies so they may not even connect you with the offer they sent out.

Who are Dutchess Partners?

Dutchess partners like Hornet Partners have a bad reputation as they send our pre-approved debt consolidation checks but aren't actually a lender, they are a marketing service for debt consolidation companies so they may not even connect you with the offer they sent out.

Who are Credit9?

Credit9 reviews are mostly positive, but there are some complaints about their customer service. Always read the debt consolidation agreement to understand the terms.

Centurion Financial reviews

Centurion Financial reviews are a bit worse than Credit9, people have said their mailer and site has misinformation and their customer service is lacking.

Nickel Advisors reviews

Nickel Advisors also send out mailers and cold calls and target lower credit score consumers to lure them in. However they are said to switch consumers to higher cost loans so be wary.

Is Pebblestone Financial legitimate?

Pebblestone Financial  are not a lender be aware that they are a marketing company that send out mailers, they don't have a good track record so be very careful with a company like this.

Lafayette Funding debt consolidation

Lafayette Funding  are not a lender be aware that they are a marketing company that send out mailers, they don't have a good track record so be very careful with a company like this.

Stonedale Partners scam

Stonedale Partners are not a lender be aware that they are a marketing company that send out mailers, they don't have a good track record so be very careful with a company like this.

Check out more of our guides!
Clara's guides

Balance Transfer Credit Cards Guide.

Learn more
Clara's guides

Credit Card Readers Guide.

Learn more
Clara's guides

Financial Er Ps Guide.

Learn more
Clara's guides

Electronic Cash Registers Guide.

Learn more
Clara's guides

Robo Advisors Guide.

Learn more
Clara's guides

Unsecured Business Loans Guide.

Learn more
Clara's guides

Litigation Funding Guide.

Learn more
Clara's guides

Crypto Wallets Guide.

Learn more
Clara's guides

Student Loan Refinancing Guide.

Learn more
Clara's guides

Crypto Exchanges Guide.

Learn more
Index