Consolidating loans bad credit rating
Consolidating your bills will help you reduce bill clutter, and will possibly provide lower rates. P2P Credit makes applying for a debt consolidation loan hassle free.
Beyond helping you reduce your number of monthly debt payments and save on interest over the life of your loans, debt consolidation can help you eliminate or drastically reduce your total debt over time.Payment history is the most important factor in calculating your credit score—accounting for 35% of your FICOWith a debt consolidation loan, it is important to first know what range your credit score falls into.For people with a "poor" credit score it may be difficult to get approved for a new loan to use for consolidation.Credit utilization accounts for 30% of your credit score.
Imagine if you have one credit card with a limit of ,000.
Debt consolidation is typically used by people who have mounting debt and want to reduce the number of lenders they have to pay each month.