15/06/2026
Debt consolidation is the process of combining multiple debts into a single loan or repayment arrangement. This may help simplify finances by reducing the number of repayments to manage each month.
In some cases, higher-interest debts such as credit cards or personal loans can be consolidated into a home loan, which may provide a lower interest rate. However, while this can reduce monthly repayments, it may also increase the total interest paid over the life of the loan and could result in paying off short-term debt over a longer period. Borrowers should carefully consider the costs, loan term and overall financial impact before consolidating debt.
Debts you could consider consolidating may include:
-Home loan
-Credit cards
-Personal loans
-Car loans.
Of course, it’s important to understand the risks and benefits of this strategy. Reach out today to talk about whether debt consolidation could be right for you. 9589 1329