Why a consolidation could be the right choice
A Greenhill Finance loan could consolidate your expensive credit and have just one affordable monthly payment with cash left to spend on home improvements, holidays…
anything you want to.
We specialise in helping to find secured loans for people who may have been refused elsewhere
or have missed payments, mortgage arrears or CCJ’s.
What is loan consolidation?
Loan consolidation means you use a consolidation loan to pay off your existing loans and credit.
By transferring your debts to a consolidation loan you can often pay a lower rate of interest and, instead of having lots of bills to pay each month, you make one manageable payment.
Should I consider loan consolidation?
Loan consolidation means you could swap a number of individual payments for one manageable monthly payment at a competitive rate of interest. It makes your finances simpler to manage and repayment more affordable.
If you have built up debts on loans, credit cards and store cards then you could consider loan consolidation as a way of making payments more manageable and easier to afford.
How could loan consolidation make my monthly payments more manageable?
Debts on credit cards and store cards typically attract a high rate of interest, which means your monthly payments can mount up.
With loan consolidation you can pay off your individual creditors and secure your new loan at a more competitive rate of interest. That means you only have one manageable monthly payment.
However, you should be aware that although loan consolidation may be more convenient and affordable by spreading your repayments over a longer term, the overall amount of interest you pay may be greater.
Could loan consolidation make my life simpler?
Yes, especially if you currently owe money to lots of lenders and creditors, which can make it easy to accidentally miss making a payment.
With loan consolidation you only have to remember to make one monthly payment to your lender.
Can I use loan consolidation to reduce the interest rate I'm paying on my current loans?
Loan consolidation is often secured lending. This means it typically uses an asset such as your house as security for your loan. Because this is less risky for the lender, interest rates for loan consolidation are usually lower than for unsecured lending - such as personal loans, car loans, credit cards or store cards.
As a result, some people choose loan consolidation so they can repay their debts at a much lower rate of interest - making monthly payments more convenient and affordable.
Will I be paying back more over the long term with loan consolidation?
This really depends on two things:
1. The amount you borrow
2. The time you take to repay
If you need to borrow money over the longer term to make your repayments affordable, it could mean you pay more interest overall.
However, it is important to consider the benefits of loan consolidation in relation to the overall cost of the loan. For example, loan consolidation makes your financial arrangements much simpler because you only have one monthly repayment to think about. Also, by spreading the repayments over a longer term they can be more affordable.
You could be eligible to borrow from £5,000 to £100,000 - enough to pay off existing loans and credit - and you can choose to repay your loan over a period of 5 to 25 years. To use a Greenhill Finance Loan for loan consolidation you must be a homeowner with an existing mortgage.
In some cases remortgaging may be a better way to consolidate your debts. Greenhill Finance advisors would be happy to discuss remortgage products with you, under no obligation. We have some very competitive rates that could save you money.
Application is quick and easy. It takes less than a minute to complete our short form. Our experienced underwriters will start working to find your secured loan straight away… usually with the money in your account in 2 - 3 weeks.
If you still need help or need more information about the options available... please click here
or call us free on 0800 916 4148
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