Thread: Good Debt Consolidation companies

Hi there,

My names Jon i'm 21 and have avoided my debt's since i turnt 18. Perhaps they arn't as substancial as some people's but like alot they are starting to have a big effect on me.

I live with my parents and am lucky enough to not pay any rent however i am now in the position where i have 4 - 5 seperate debts. 2 With HFC Finance for electrical items totalling around £1300. 1 with Welcome Finance (The only company who would offer me a loan when i was 18 ) for around £3500 1 with Natwest for £900 and a phone contract for £300. I'm to worried to confront my parents with my debt and feel as though im capable to sort this out myself as i am in a position where i'm earning relativily well from my job as a customer sales advisor.

What i want to arrange is a consolidation of my debts as it drives me up the wall having to settle 4 - 5 every month. Can anyone help me point me the direction of a company(s) that can not only give you advice but also help you settle your debts in affordable 1 monthly payments? I've had a look around the internet but after Watching Watch dog im concerned to get caught up with a company which is a [problem] or say they offer a fantastic service but the interest is mad!

To be honest i'm looking for a repayment service which can be stretched out quite nicely, i dont mind paying interest i know this isn't avoidable but obviously i can't seek a bank's loan help as my credit rating is appauling (which would be the smallest interest) I just want to be left with a decent wage where i can still enjoy life and yet not have to worry about the same familiar phone calls and letters of baliff's action through the door.

Can anyone help?

It will be greatly appreciated i just want to get these debts clearing and these stupid £10 for a phonecall and £15 for a letter interest onto my debt.

PS. I had a letter from Welcome Finance the other day giving me a special offer.. They offered to slash my debts from £3500 down to £2250 but they said it was for a limited time and i didn't contact them in the 14days they gave me. Do you think if i spoke to them they would offer this still or have i lost this opportunity.

Many thanks for reading and i look forward to any help!!

- Jon

agree with the above poster but you can look to one of the debt charities such as CCCS who work for free

Originally Posted by PGH7447

No such thing as a good debt consolidation

I beg to differ.

If it is affordable and at a much lower rate of interest than the likes of Welcome finance charge it could be a plausable option. The monthly instalment would need to be affordable, mind you.

As previously metioned give either CCCS or National Debtline a call (they don't offer consolidations themselves but would be able to give you holistic advice about all of your options)

Originally Posted by sequenci

I beg to differ.

If it is affordable and at a much lower rate of interest than the likes of Welcome finance charge it could be a plausable option. The monthly instalment would need to be affordable, mind you.

As previously metioned give either CCCS or National Debtline a call (they don't offer consolidations themselves but would be able to give you holistic advice about all of your options)

Big difference between free debt advice and a consolidation company. The previous poster was correct, there is no such thing as a good one. They are all out to make money from the people that can afford it the least.

Originally Posted by BSC

there is no such thing as a good one. They are all out to make money from the people that can afford it the least.

If it is possible to consolidate to a cheaper rate then it's a good thing no?

Welcome fiance agreements often have interest rates of 20%+ so if it's possible to consolidate via a meanstream lender who offers say 7% then the OP will be saving a significant amount of money, no?

The problem is finding someone who is willing to lend at the moment, it's a minefield.

mainstream lenders are not debt consolidation companies. Consolidating your debt is a good thing but that is completely different to a company that makes money offering a service that you can get for free

Originally Posted by BSC

mainstream lenders are not debt consolidation companies. Consolidating your debt is a good thing but that is completely different to a company that makes money offering a service that you can get for free

Got ya

But to clarify and answer the OP's original question. There are no good debt consolidation companies.

If getting a loan at a good rate from a bank or building society to consolidate your debts is an option then choose this but, as PGH7447 rightly points out, cut up your cards and stick to a budget.

If the above is not an option then use one of the FREE debt advice charities CCCS or National Debtline

Hi

I agree with the above posts, and do not feel debt consolidation is a good way forward. It seems good as a short term solution, but can often make things a lot worse.