“Make sure you have plenty of cushion in there so if something happens and you had to sell your home, or you had to move ...you don’t end up losing your home.” Repayment terms can be 10 years or longer, and if the value of your home drops during that period, you may owe more than your home is worth.
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.
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.
Track your spending to see where your money goes each month, identifying areas where you may be able to cut back.
Compare your debt payment obligations and your spending to create a budget and determine how much you can realistically pay on your debt each month.