You may think that because you don’t own a home you can’t get a debt consolidation loan; however you may be able to get a debt consolidation no home equity loan. The thought of having one lower monthly payment to reduce and eventually eliminate your high interest credit card or other unsecured debt doesn’t have to be a dream. If you find a debt management company to work with you the odds that they have a debt consolidation no home equity loan could be a possibility.
You could find that some companies offer a personal loan as part of the debt consolidation no home equity loan program. You may get a lower monthly payment with a lower interest rate than you currently have on your unsecured credit cards or other high interest loans. If you can’t find a loan that will work for your current situation there are still more options for you.
Although you have credit card debt you might find your credit card company is willing to lower your interest because you will have an easier time repaying it. They much prefer having you repay the credit card debt off than having to default on it. If that doesn’t work you may get an offer from another credit card that has a zero percent or lower interest rate. With this option you can pay down the principal faster which allows you to get out of debt quicker. In this case you don’t need to have a home so debt consolidation no home equity will be a great option.
If getting a lower interest rate with your credit card company doesn’t happen you may still find a debt consolidation no home equity solution. A debt management company could help you create a monthly budget and they could try to negotiate with your credit card companies on your behalf. Since this is part of their business they may have more clout to get a lower interest rate. The company then makes the monthly payments for you. There will be a monthly fee from the debt management company for this service, though.