Does consolidating debt affect credit

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If you’ve got lots of different debts and you’re struggling to keep up with repayments, you can merge them together into one loan to lower your monthly payments.

You borrow enough money to pay off all your current debts and owe money to just one lender.

I did read online, and in this post, about credit settlement and various options moving balance around, however, I have 6 cards with a total out of ~35k.

I emailed a credit counselor who suggested their program where I pay them ~0/month and I'm done in 5 years.

You could consolidate your debts with part of the mortgage proceeds if you have the wherewithal to make a 20 percent down payment, steady income, a low debt-to-income ratio, and the house you're buying has a high enough value to have some equity at time of purchase.

In the halcyon days of real estate before the banks went pretty much bust, it was possible to get a home loan for more than 100 percent of the value of the house.As of now my credit score is just above the "don't even look at it" level and I am looking for approaches to improve it.I am able every month to do all payments in time and I never skipped one, however, I pay ~0/month just paying the minimum of all cards together.Consolidating all your debts into one loan might appear to make life easier but there might be much better ways of dealing with debts.Find out more about how debt consolidation loans work, then get free debt advice before you make a decision.

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