Managing multiple loans or credit commitments can sometimes make it difficult to keep track of your finances. Whether you’ve got a personal loan alongside a car loan, or you’ve needed to borrow for an unexpected expense such as a medical procedure, keeping up with different repayment dates and loan terms can feel overwhelming.
For some borrowers, debt consolidation may be one option to consider. Rather than managing multiple repayments across different providers, debt consolidation combines eligible debts into one loan with a single regular repayment. Whether this approach is suitable will depend on your individual circumstances.
At Rapid Loans, we offer secured personal loans that may be used for debt consolidation, subject to our credit eligibility criteria and approval requirements. If you’re considering your options, here’s what you should know about how debt consolidation works.
How Debt Consolidation Works
Life’s major milestones and unexpected expenses can sometimes lead to borrowing at different points in time. Whether you’ve taken out a car loan, paid for medical expenses or borrowed for another purpose, each loan may have different repayment dates, loan terms and interest rates.
If you’re approved for a debt consolidation loan, the funds may be used to pay out your eligible existing debts, leaving you with a single loan and one regular repayment to manage. Depending on the interest rate, loan term and fees, consolidating debts could result in paying more over the life of the loan, even if your regular repayments are lower.
Rapid Loans offers secured personal loans from $2,001 to $45,000, with loan terms ranging from 12 to 60 months and no early repayment fees if you choose to repay your loan early.
Supporting You Throughout Your Loan Journey
Applying for a loan can feel like a big decision, so we aim to make the process as straightforward as possible. Our online application allows you to submit your information securely, and our team is available if you have questions throughout the application process.
Our team is available if you have questions about your loan or repayments after settlement.
Applying for a Debt Consolidation Loan
Applying for a debt consolidation loan with Rapid Loans is straightforward. You’ll complete an online application and provide information about your existing eligible debts, along with details about your income and identification so we can assess your application.
To finalise a debt consolidation loan, our loan consultants will also require payout quotes for your existing eligible debts so they can be paid directly as part of the settlement process.
What Happens After You Apply?
Once you’ve submitted your application, our team will review the information you’ve provided as part of our normal lending assessment process. We may contact you if additional information or documentation is required to complete the assessment.
Processing times can vary depending on your individual circumstances and how quickly all required information is received. If your application is approved, we’ll explain your loan agreement, repayments and next steps before settlement.
Considering Debt Consolidation?
Debt consolidation may be worth considering if you’re looking to simplify multiple eligible loan repayments into a single loan. Before applying, it’s important to consider the overall cost of borrowing and whether the repayments fit comfortably within your budget.
Rapid Loans offers secured personal loans from $2,001 to $45,000, which may be used for debt consolidation, subject to our credit eligibility criteria and approval requirements.
If you’d like to learn more about our personal loan products and debt consolidation process, you can get in touch with our team for more information or apply online.
This article is general information only and does not constitute financial or credit advice. It does not take into account your personal objectives, financial situation or needs. When you apply for a loan with Rapid Loans, your application will be assessed against our credit eligibility criteria. All applications are subject to approval. Terms and conditions, fees and charges apply.