Lenders consolidating loans

They use collateral, such as home equity used to secure a home equity loan, and generally have better interest rates than unsecured ones.

If you have the collateral and can meet the requirements, a secured loan may save you money on interest as you pay down your debt.

Most lenders offer rate quotes, which are soft inquiries on your credit and have no effect on your credit score.

The amount you pay on your debt consolidation loan each month will vary depending on the amount you borrow and how many years you will take to repay it.Home equity debt consolidation loans, a type of secured debt consolidation loan, offer a fixed interest rate.Interest paid on a home equity loan is usually tax deductible, while credit card interest is not.This includes applying (with prequalification), choosing your loan terms, finalizing your application with a hard inquiry and finally, repaying the loan.Your credit history will significantly influence the interest rate quoted for your debt consolidation loan, as most lenders use risk-based pricing.

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