Credit consolidation loans for those of us whose credit rating is poor are rare…very rare, hence the question asked in the title of this article.
It never used to be the case, but the decline of the economy over the past two years, due to the global fall out from the sub prime mortgage fiasco, has meant that lenders are reluctant to lend to anyone who doesn’t have a credit history cleaner than a cake of Howard Hughes’ soap, the job security of God and more collateral than Fort Knox (under the circumstances we had better scrap that one!)
Joking apart, the situation has never been bleaker for people looking to reduce their outgoings by means of consolidation, especially for those who have no collateral. It’s not all doom and gloom though; lenders are starting to be enticed by government bail out money and other ‘encouragements’, to open up their lending departments once again. However, they will need to employ a few cleaners (on short term contracts obviously) to wipe away the cobwebs and turn the calendars from 2007 to 2009!
The problem still remains though for those with no collateral, as the likelihood is that increased lending will be on the lenders terms, which, if I was in their shoes, would be the secured loan route initially. For those of you with collateral great news you may have a chance.
Those of you still here who are still waiting to read a glimmer of hope regarding applying for and gaining approval for a bad credit consolidation loans, I salute you. Your patience is outstanding.
My advice would be to give up on looking for an unsecured consolidation loan, for the time being anyway, and concentrate on managing the debt you have.
Debt management is what you need to look at and you can either get help from a non-profit professional debt management outfits like ‘Debt Relief USA’ or ‘Debt Free America’ or you can look to take care of business yourself, which is surprisingly easy and very fulfilling.
Stop worrying about your debt and take action to control it or it might just be around your neck for a lot longer than it needs to be, the time will come when you will be able to get that bad credit consolidation loan your looking for, but for the time being you should check out the sites at the end of this article for a little guidance.
The financial institutions are the ones who have gotten you and I into this mess and it is typical that they are very slow in acting to help us get out of it. They all know about the legal, moral and ethical methods of debt elimination that these sites talk about and how effective they are at eliminating debt, (so effective in fact that they work quicker than Donald Trump offloading Enron shares!) and they don’t like them, funnily enough.
Perhaps it’s the moral, legal and ethical part of these methods that the banks can’t stomach. We already know they struggle with the concept.