Debt consolidation loans work and they don’t. Debt consolidation loan works, if you commit not to use credit again and use the savings you have realized from the debt consolidation to eliminate the loan you took to consolidate your debt. In another word shorten the amortization period of your new debt consolidation loan.
Debt consolidation loan does not work if you:
- Keep adding new debt,
- Extend the amortization period of your new debt consolidation loan.,
- Spend the savings you obtained from consolidation your debt on your wants.