After you’ve splurged on holiday gifts, it’s easy to feel a bit of buyer’s remorse. Luckily, there are ways to recoup your expenses and still allow your loved ones to hold onto their new favorite belongings. In fact, many people turn to debt consolidation to re-stabilize their finances. If you’re unfamiliar with personal loans for paying off debt, use the following overview to learn more about this financial hack.

A General Guide to Debt Consolidation

What Is Debt Consolidation?

When you’re tight on cash after a big purchase or a lost job, it can be hard to stay on top of your credit card payments. Luckily, debt consolidation allows lenders to combine several bills or lines of credit into a single, overall balance. From there, it’s much easier to schedule a sole payment amid the chaos of monthly budgeting. Many debt consolidation plans also offer lower interest rates, so your dollar can go further over time.

Am I a Viable Candidate for Debt Consolidation?

If you’re currently struggling to pay off high-interest credit cards, debt consolidation could put your repayment plan in slow-motion. With lower interest rates as well as lower monthly payments, you can continue covering necessities while paying back your debt at a reasonable rate. Plus, with less confusion over multiple bills, you’ll feel much less stressed paying off one full debt to one lender.

What Are My Options?

When it comes to debt consolidation, most people take one of two routes—a personal loan or a debt management program. If you’ve been diligent about setting a monthly budget and are still having trouble paying off your debt, a personal loan may be the only helpful choice. In this case, the loan will go toward paying off all your debt immediately. From there, you just have to focus on paying back the loan. In most cases, you can negotiate the monthly payments with the lender and set an interest rate that works for you.

If you’re looking for help paying off your debts, turn to Hawaii County Employees Federal Credit Union of Hilo, HI, and the surrounding areas. Once you set up a debt consolidation plan with a member of their dedicated team, you’ll have 24-hour access to your financial information. To learn more about the offerings they’ve honed over the last 80 years, visit the website. You can also call them at (808) 935-2969 to discuss a personal loan for debt consolidation.