*Will payday loan consolidation hurt my credit?
In most cases, payday loan consolidation won’t hurt your credit, but it won’t help your credit either. Payday loan lenders usually don’t report payday loans to a credit bureau except if they’re delinquent. The only things that happen when consolidating your payday loans all work for you. Your interest rates are reduced enormously. Payday loan interest rates customarily run between 200% and 700% annually. Payday loan consolidation can in most cases lower your interest rates down to 0%. This keeps you from remaining in the cycle of constantly rolling up one payday loan into another. Paying off payday loans certainly doesn’t hurt your credit. It helps you to maintain whatever credit you have.
*Can you add payday loans to debt consolidation?
Of course you can! Debt consolidation is simply taking all your debt and rolling it up into one monthly payment which is dispersed to your creditors at a reduced interest rate. Anything unsecured is almost always accepted into a payday loan consolidation program. Given the state of our economy, especially now in the time of coronavirus, many people are running into payday loan problems and needing to consolidate their payday loan debt. Federated Financial is a 23 year-old A+ rated BBB company. We have a tried & true formula that can help you get out of debt at a greatly reduced cost, over a shorter amount of time than you could negotiate for yourself. Debt consolidation of your payday loans works!
*Should you consolidate your payday loan with a personal loan?
That is a subjective question. Everybody has their own opinion. I’m going to tell you why consolidating your payday loans with another loan makes very little sense. You wake up one day and you decide you want to consolidate your payday loan. If your credit is still good you might very well be eligible for a debt consolidation loan which in turn will consolidate your payday loan. My question is, why consolidate one high interest loan with another? Instead, just consolidate your payday loan with a debt consolidation program. That way in most cases, you’ll be replacing your high interest loan with a no interest debt consolidation plan. We’d love the opportunity to explain it all to you! Please feel free to call us anytime, and we can show you a quicker and less expensive way to get out of payday debt then borrowing more money!