Debt Consolidation in Vancouver
What is Debt Consolidation?
Debt consolidation is a form of refinancing that involves taking out one individual loan in order to pay off multiple other sources of debt, such as multiple credit cards and other loans, including a student loan, car loan, or personal loan. At Abakhan & Associates, we have handled various forms of debt consolidation in Vancouver, Victoria, throughout the Lower Mainland and the Okanagan. We can provide the guidance you need to make an informed decision about your financial situation.
One advantage of debt consolidation is the simplification and streamlining the debt repayment process. Another advantage is to achieve an overall lower interest rate than having your debt in smaller, individual loans, such as on multiple credit cards. If you have a house or other assets to secure the loan, you may be able to obtain an even lower interest rate.
Forms of Debt Consolidation
A debt consolidation loan usually takes the form of:
- A secured or unsecured line of credit;
- A second mortgage on your home; or
- A secured loan, secured by other assets or by a co-signor/guarantor.
Getting Approved for Debt Consolidation in Vernon, the Okanagan & Beyond
The bank or financial institution from which you are seeking debt consolidation in Vernon or the surrounding areas will require various pieces of information before approving you for a debt consolidation plan. You will particularly want to let them know whether or not you are seeking an unsecured loan or line of credit. The lender will need to know your annual income, monthly expenses, credit history/credit rating, and information about your existing debts and assets.
If your liabilities exceed your assets, you may not be able to secure a loan or the loan amount could be significantly lower than you need and the interest rate will be high. You may need to find a guarantor for the debt consolidation loan in such circumstances.
An alternative to debt consolidation is the making of a consumer proposal to your creditors.
Looking for Debt Consolidation in Victoria or the Lower Mainland?
Professional guidance is available from Abakhan & Associates Inc. starting with a free and confidential consultation about your financial situation. Our years of experience give us an edge in personal, corporate, and debt management. When you meet with us for a free consultation, we can discuss together what method is best for handling your financial issues and debt, whether that includes preparing a consumer proposal, filing for bankruptcy, or turning to debt consolidation. Victoria, Vernon, Vancouver, Surrey, and Prince George are just some of the locations where you can find our offices. Call us for help at 1-877-308-8877.