Most debt consolidation loan programs assume that the borrower owns a home, as the loans are essentially home equity loans used to pay of high interest credit card debt. Unsecured debt consolidation loans, especially ones that will actually save you money, are much more difficult to find. Frequently, consumers find that unsecured consolidation loans are not able to save them money, as the interest rates offered on these loans frequently exceed the interest rates offered on many credit cards. While you have made all of your payments timely on your credit accounts, the fact that several of the accounts are maxed out is likely pushing down your credit score, thus preventing you from qualifying for a low-interest unsecured consolidation loan.
One possible resource for you to explore is Prosper or Lending Club, which are services that connect borrowers in need with individual lenders. Hopefully, your credit history is good enough that lenders will loan you the money you need at an interest rate less than that charged by your credit cards.
If you cannot find lenders on Prosper or Lending Club, it may be time to consider other options, such as debt settlement, although most debt resolution options will damage your credit. Clearly, you need to rid yourself of this credit card debt, and I honestly do not think you will be able to do so without taking a hit to your credit rating. In my opinion, debt settlement may be the best option available to you, despite the fact that this type of debt resolution program will likely significantly lower your credit score. While your credit score will suffer in the short term, in the long term, you will rid yourself of this burdensome debt, which should allow you to rebuild your credit on better terms in the future. Keep in mind that delinquent accounts only appear on your credit report for seven years, so a debt settlement program should not permanently damage your credit rating.
Bills.com offers a wealth of information about debt consolidation and other debt resolution options. I invite you to visit the Bills.com Debt Help Resources page to read about the different options available to you.
I hope this information helps you Find. Learn & Save.