Credit Card Consolidation

Information verified correct on January 19th, 2017

Want to reduce what you’re paying in interest while still repaying your credit card debt? Consider consolidating your credit cards.

Credit cards, while convenient, make it easy to get into debt. If you have debt across multiple credit cards that you’re repaying, you may be able to reduce the interest and fees you’re paying by consolidating them into one account. There are a few ways you can do this, including a balance transfer, a debt consolidation loan, a personal loan or a peer-to-peer loan. You can learn more about your options in the guide below and decide which one is right for you.

Personal loans that could help you consolidate

Rates last updated January 19th, 2017
Unfortunately, none of the personal loan providers have a loan for that credit score. It you are urgent need of a small loan, you might want to check out a short term loan.
Max. Loan Amount Minimum Credit Score Turnaround Time Requirements
NetCredit Personal Loan
You could borrow up to $10,000 and get an interest rate personalized to your credit score
$10,000 300 1 business day Varies based upon state of application Go to site More
LightStream Personal Loans
You could borrow up to $100,000 with rates starting from 1.99% fixed.
$100,000 680 Varies You must have a good or excellent FICO and be an American citizen or a permanent resident of the US. Go to site More
SWIFT Personal Loans
With a 5 minute simple application, SWIFT connects you with lenders that will offer you terms that are reasonable, affordable, and trustworthy.
$10,000 1-2 days You have a valid bank account, You have a job or regular source of income, You are a resident of the United States and You are 18 years of age or older Go to site More
SoFi Personal Loan
Borrow up to $100,000 with a competitive APR and no fees.
$100,000 660 Varies You must be a U.S. citizen or permanent resident 18 years or older. Go to site More
Avant - Personal Loan
Borrow up to $35,000 with APRs ranging from 9.95% – 36.00%
$35,000 660 1-2 business days You must have at least a fair credit score (580 or more). Showing proof of a steady income. You must be a US Resident over 18 years old. Go to site More
Upstart Personal Loans
You are not required to have a specific minimum annual gross income, or credit history. That easy.
$50,000 660 1-2 business days 18+. US citizen or permanent resident. 660 credit score or higher. Go to site More
Payoff Personal Loans
Stress-free loan with APR starting at 8 and a 35000 credit line
$35,000 660 1-2 business days Avg credit score and debt to income ratio less than 50%. 18 years and older. Go to site More
Lending Club Personal Loan
Borrow up to $40,000 with rates starting at 5.99 to 35.89 APR based on your credit score.
$40,000 660 Varies You must be over 18 years of age, a permanent resident of the US or an American citizen and have a steady source of income. Go to site More
LendKey Student Loans
Reduce your interest rate, lower your monthly payments, and save thousands over the lifetime of your student loans.
$175,000 660 1-2 business days You must be a U.S. citizen or permanent resident enrolled at least half-time in a degree-granting program at an eligible school. Go to site More

Personal loan lender matching services

These matching services connect consumers with personal loan lenders. It is important to note that these services do not make credit decisions and they are not lenders, loan brokers or agents for any lender or loan broker. They can help link you up with a lender that might be able to help you access a loan.

Rates last updated January 19th, 2017
Unfortunately, none of the personal loan providers have a loan for that credit score. It you are urgent need of a small loan, you might want to check out a short term loan.
Max. Loan Amount Minimum Credit Score Turnaround Time Requirements
PersonalLoans.com
An online loan matching service that connects you with lenders.
$35,000 Varies by Lender 1-2 days You must be employed, 18+ with a bank account. Go to site More
TrustedPersonalLoans.com Personal Loan
Trusted Loans give you flexibility to pay for your credit, once or twice each month.
$10,000 330 As soon as tomorrow 18+, have an open bank account, be employed or have regular income Go to site More
LendingTree Personal Loan
What everybody ought to know about LendingTree and the personal loans it provides.
$35,000 639 If you apply during working hours on a business day you can get access to approved funds within 24 hours. You must be an American citizen or a permanent resident of the US, You must be at least 18 years of age and You should have a regular source of income Go to site More
Accredited Debt Relief
Accredited Debt Relief can help you lower your monthly payments and interest rates or get out from serious debt. They offer free consultations at 1-877-569-5675.
Varies based on lender No minimum Varies based on lender 18 years of age or older, legal resident of the United States and additional terms may apply based on services and products used. Go to site More

How does credit card debt consolidation work?

This depends on the consolidation method you opt for, and it starts with you finding out which method is right for you. Once you’ve done that, you put all of your card balances into the one account. Make sure to close your previous accounts to save yourself from paying additional fees and to keep your credit utilization below 30% (read our FAQs below for more information).

What are your options?

  • Credit card balance transfer. Card providers usually offer 0% APR for a limited period of time, allowing you to pay off your debt. Keep in mind the card isn’t necessarily free, with purchase APR and annual fees to consider.
  • Debt consolidation personal loan. You can take out a larger personal loan and pay off your credit card balances using the funds. Some lenders also give you the option of paying your creditors directly rather than you having to divvy up the funds yourself.
  • Peer-to-peer loans. Also referred to as P2P loans, these are becoming a popular choice for people looking to pay off their credit cards. Apply for a loan online and it will be funded by one or a few “peer” investors.
  • Debt consolidation companies. These companies work by negotiating with your credit card providers to reduce your interest rate or lower your monthly repayments. You make a single payment, and the debt consolidation company will distribute the payment across your card accounts.

“How can I decide which is the best consolidation method for me?”

  • What’s your credit score? Whether or not you have good credit will affect the interest rate you’re offered by lenders as well as your chances of being approved. Make sure the rate you are given will save you money when you consolidate your credit card debt.
  • How much debt do you have? The amount of debt you have may affect the credit you can apply for. Check the allowable limits on different accounts before you apply to ensure you can consolidate all of your debt. Other lenders may not be willing to take on your debt if it is too large, so take this into consideration as well.
  • Do you want fixed repayments or would you prefer flexibility? Different consolidation methods offer different ways to repay. For example, if you opt for a P2P loan, your payments will be fixed, whereas you can make variable payments and pay off more than you owe with a credit card.

Find out about your credit card options

NetCredit Personal Loan

NetCredit Personal Loans

NetCredit offer you the chance to borrow money as alternative to bank personal loans. As you borrow more your credit score increases and your interest rate becomes lower.

  • Min. Loan Amount: $1,000
  • Loan Term: Varies upon State
  • Turnaround Time: 1 business day
  • Total Costs: Depends on your credit score.
  • Build your credit score - Must be 21+
  • No security needed
  • Confidential and secure!

    When should you not consolidate your credit card debt?

    There are a few instances when credit card consolidation may not be the right choice to pay down your debt. You may want to reconsider if:

    • The new APR is higher than your current APR. This is a red flag and would have you paying more debt.
    • It will hurt your credit score. Taking on more debt will generally damage your credit, although this should only last a short time. If you enlist the help of a debt consolidation company, you may notice your credit score suffer, so only consider this option if you already have bad credit or have considered other options.
    • You haven’t checked the reputability of the debt consolidation company. Disreputable companies operate in the debt space, so it’s important for you to ensure you work with a company who works towards your best interest.
    Pros and Cons of credit card debt consolidation

    Pros

    • Fewer accounts to worry about. By rolling several different payments into one, you should be able to manage your repayments easier.
    • Doesn’t hurt your credit score. By consolidating your debts, you’re still only making payments on what you owe. You’re not increasing your limit.
    • Relief from high APRs. If you have two credit cards at 20% APR or more you’re rolling these into a smaller APR loan.

    Cons

    • Getting into debt to pay for debt. Getting new debt to manage old debt can be risky if you are not prepared with a plan to pay it back.
    • Secured loans may mean more risk. If you suffer a financial setback, you have your collateral to lose.
    • Longer term debt. If you’ve consolidated your old credit card debt it is usually rolled into a longer term loan. You’re monthly repayments could be lower, but the interest paid over time could be higher.

    Have more questions to ask before you consolidate your credit card debt?

    How many credit cards can I consolidate?

    There isn’t a set limit of cards, but there will be a limit on the debt you can consolidate. Calculate the debt you have across all of your card accounts and calculate how much you can pay off as per your chosen method’s terms.

    What do I need to know about credit card utilization when consolidating card debt?

    Your credit utilization ratio is the total amount of debt you owe compared to the total amount of credit you hold. For your credit utilization ratio to have a good effect on your credit score, it needs to be within the 1%-30% range. So, if you hold a $10,000 credit card limit, you will only want a maximum of $3,000 debt on it. When it comes to opening a new account and consolidating your debt, your credit card utilization will gradually change. Remember to keep this in check as you consolidate.

    Am I eligible for credit card consolidation?

    This depends on the type of method you are opting for and the lender you apply with. Check the minimum criteria that applies before you submit your application.

    Can I get a secured loan for consolidation?

    These kind of loans are secured to an asset or collateral that can be seized if you don’t make your repayments. You may be able to borrow more with a secured loan but the risks can also be higher if you struggle with repayments.
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    US Personal Loans Offers

    Learn about our information service
    TrustedPersonalLoans.com Personal Loan

    Trusted Loans give you flexibility to pay for your credit, once or twice each month.

    LightStream Personal Loans

    You could borrow up to $100,000 with rates starting from 1.99% fixed.

    NetCredit Personal Loan

    You could borrow up to $10,000 and get an interest rate personalized to your credit score

    SWIFT Personal Loans

    With a 5 minute simple application, SWIFT connects you with lenders that will offer you terms that are reasonable, affordable, and trustworthy.

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