Lewis & Monroe, PLLC
Free One-Hour In-Office ConsultationsFree One-Hour In-Office Consultations

Could debt consolidation ease credit card debt woes?

No one plans to let their credit card debt get out of hand, but for many, unforeseen circumstances or an inattention to spending habits can lead to a serious debt issue. In many cases, credit card debt levels reach staggering heights before it becomes obvious that something must be done to regain financial stability. One path that many in Florida consider is debt consolidation.

Debt consolidation involves taking out a new loan for the purpose of paying down multiple existing debts. In theory, the borrower can pay off higher interest accounts with the proceeds from a lower interest loan. Another benefit is having fewer monthly payments to track, and often a lower monthly cost when compared to paying fines and fees associated with multiple accounts.

Debt consolidation is a legitimate means of repaying high levels of credit card debt, but it is a process that can take a significant period of time to complete. Borrowers must be careful to research the cost of various loan options, and must make their monthly payments in full and on time. With a combination of dedication and diligence, it is possible to repay credit card and other debts over a period of several years.

For some in Florida, the need for debt relief is immediate. Using a consolidation loan to pay down credit card debt may not be an option, especially for those who also have serious credit problems. In such cases, a faster and more reliable path to debt relief may lie in the form of personal bankruptcy, which can eliminate many forms of consumer debt through the discharge process.

Source: Investopedia, "Debt Consolidation: When It Helps, When It Doesn't", Mark P. Cussen, May 14, 2014

No Comments

Leave a comment
Comment Information
ABA Defending Liberty Pursuing Justice American Bankruptcy Institute The Florida Bar 1950 CFAWL Criminal Florida Association For Women Lawyers Orange County Bar Association
Email Us For a Response

Contact The Firm In Orlando, Florida

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Lewis & Monroe, PLLC

651 Rugby Street
Orlando, FL 32804

Phone: 407-917-4147
Fax: 407-246-0008
Map & Directions