The people who are in debts can be debt free through debt consolidation.
Debts can be consolidated through debt consolidation mortgage, debt consolidation loans, debt consolidation remortgage and debt counseling.
These are available in secured and unsecured forms.
If the borrower is in a position to place collateral, he or she can opt for secured option.
The collateral should be of the market value which should be more than the loan amount taken by the borrower.
Unsecured option is for the tenants and students.
There are home owners who do not want to place their home as the collateral.
They can also apply for these loans.
Secured option has some advantages over unsecured option.
The rate of interest for secured option is less than the unsecured option.
Unsecured option is needed to be repaid in shorter loan term than the secured option.
Debt consolidation has many advantages.
It prevents the past creditors from giving threatening calls to the borrowers.
With these loans, the borrowers convert the multiple payments into a single monthly payment.
Once the borrower starts repaying these loans, the borrower's credit score starts improving.
To avail these, the borrowers have to fulfill some conditions.
The borrowers should have a bank account.
The number of creditors should be 3 to 4.
The whole debt of the borrowers should not be less than £15000.
The borrower should have a bank account.
The borrower should be able to pay at least 70% of the total debt taken by him or her.
Students, tenants, home owners and people with bad credit can also apply for these loans.
Debt consolidation is offered by the online lenders, financial institutes and lending companies.
Some individual lenders also offer these loans.
Online loans are fast and convenient.