Five steps to get you back up on solid ground even if you have a low credit score
It seems that no matter how much we seem to make…that’s about how much we spend.
But with rising inflation and stagnant wages, cash doesn’t seem to flow as far as it used to. You may be finding yourself a little short each month.
If you have multiple credit card and loan payments, it’s possible that a debt consolidation loan can help you out.
What is a debt consolidation loan? It’s where a lender, like the Ashland Community Credit Union, approves you for a loan to pay off your credit card debt. Some plans pay off up to $10,000 of your debt.
Here’s how it works:
Apply for a Debt Consolidation loan.
It’s easy to do. And at the Ashland Community Credit Union, we want to approve your loan, unless you can talk us out of it. So even if you have a low credit score, we’d like to try to help.
Lower your interest rate:
Some of the credit card payments likely have high-interest, variable rates. That means you’re paying the credit card company more, instead of paying off your debt. Debt consolidation loan rates are usually a lot lower. And fixed so they don’t go up when rates do. That’s how you pay less interest, which makes it easier to pay off the debt! Click here for a look at current rates.
Make one single payment per month.
Instead of keeping track of all of those credit and loan payments, …you’ll have one payment to make. Plan on it every month. Making one payment every month can help improve your credit score, too!
Lower the payment over multiple months:
Debt Consolidation loans can be paid back over a longer term, maybe up to 5 years or so. This may lower your payment and improve cash flow.
Stay out of trouble.
By setting up a debt consolidation loan, you may avoid defaulting on other loans, or staying out of bankruptcy. Set up a plan to pay back one lender.
When you choose a lending partner like the Ashland Community Credit Union, you’re choosing a partner who cares about you and your success. Together, we can build a stronger family and a thriving community. Helping you helps everyone…and that’s what the Ashland Community Credit Union is all about.
