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Helpful tips to consolidate check advance loans

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Mark Cappel
UpdatedNov 23, 2022
Is there any way you can consolidate check advance loans?

Is there any way you can consolidate check advance loans?

there are several different types of consolidation loans, but the one that will best suit your situation depends primarily on whether or not you own a home and your credit history. also, the amount of your debt will be a consideration. if you only owe a few hundred dollars in payday loans, a debt consolidation loan may not be available to you, but if you owe several thousand, or more, a consolidation loan may be a good choice. the type of consolidation loan you need will affect the type of company with which you should consult.

cash-our refinance

if you own a home, a secured debt consolidation loan may be right for you. this type of loan is essentially a home equity loan which is used to pay off your other creditors.

if you want an introduction to pre-screened mortgage lenders, bills.com makes it easy to compare mortgage offers and different loan types. please visit the free mortgage refinance quote loan page and find a loan that meets your needs.

secured consolidation loans help many consumers by consolidating all of their debts into a single monthly payment with a lower interest rate and payment amount. however, be careful before you borrow money against your home to pay off payday loans; you are converting what was previously unsecured debt into secured debt. this could cause you problems down the road if for some reason you are unable to make your payments, or if life circumstances force you to file bankruptcy, as you may not be able to discharge the secured debt as you would unsecured debt. however, secured debt consolidation loans work for many people, so this is an option to consider carefully- the bills.com savings center, found at the top of most pages on bills.com, is a great resource to help you find a lender for this type of loan.

unsecured loan

if you do not own a home, you may need to look into an unsecured consolidation loan. however, since you have been taking out payday loans, it seems likely that you have had past difficulty in qualifying for personal loans from traditional lenders like banks. if you cannot obtain an unsecured loan from a bank or credit union, a possible loan resource you may want to explore prosper or lending club. both are peer-to-peer loan facilitators that put private lenders in contact with private borrowers. a private lender may be more willing extend you a loan than a traditional bank, depending on factors such as your income and past credit history.

payday loan resolution

even if you cannot obtain a consolidation loan to help you repay your payday loans, you may be able to find a way to resolve these debts. there are eight states whose payday loan regulating statutes require lenders to set up an installment repayment plan if an account reaches the maximum number of rollovers allowed by law and the debtor declares that he/she is unable to pay the balance due. check out the payday loan information from the consumer federation of america at paydayloaninfo.org, where you will be able to read all about these loans and the various state attempts to regulate them. follow the "state information" link to find out the specific regulations for payday lenders in your state, and if you live in one of the eight states requiring installment payments. if your state does require repayment plans, and the lender still won't accept payments, call your state regulator of payday loans, usually an assistant attorney general, and complain. you should get the results you want after the attorney general's office becomes involved.

if you are not in one of those states, you may want to consider simply making payments to the lender of whatever you can afford to pay down the balance of the loan over time. in most states, the rollover limit will soon be reached, and the interest rate the lender can charge will be capped by state law. if the lender will not accept your payments, simply put what you can afford aside each month until you have enough money to either pay off the loan or to offer a settlement. read up on the regulations in your state to find the best strategy for your situation.

i wish you the best of luck in resolving the problems you are currently experiencing with your payday loan. for more information about payday loans, i encourage you to visit the bills.com payday loan information page. i hope this information helps you find. learn & save.

best,

bill

bills.com

Did you know?

Debt is used to buy a home, pay for bills, buy a car, or pay for a college education. According to the NY Federal Reserve total household debt as of Q2 2022 was $16.15 trillion. Auto loan debt was $1.50 trillion and credit card was $0.89 trillion.

According to data gathered by Urban.org from a sample of credit reports, about 26% of people in the US have some kind of debt in collections. The median debt in collections is $1.739. Student loans and auto loans are common types of debt. Of people holding student debt, approximately 10% had student loans in collections. The national Auto/Retail debt delinquency rate was 4%.

Collection and delinquency rates vary by state. For example, in Alabama, 15% have student loan debt. Of those holding student loan debt, 9% are in default. Auto/retail loan delinquency rate is 7%.

Avoiding collections isn’t always possible. A sudden loss of employment, death in the family, or sickness can lead to financial hardship. Fortunately, there are many ways to deal with debt including an aggressive payment plan, debt consolidation loan, or a negotiated settlement.

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