Advantages of a debt consolidation loan can include:
- One lower monthly repayment, lowering your outgoings
- Consolidation of credit/store cards, car loans, student loans, unsecured personal loans etc.
- A lower interest rate than your previous debtors, saving you money
- Flexible repayment options
- No more early repayment fees/charges once you've switched
It can take longer to pay off all your debts if you consolidate them; bear in mind that it might end up costing you more in the long run, but a debt consolidation loan could make your money a lot easier to manage if you are struggling with your finances.
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.