Readers are always asking about how does debt consolidation programs work. What are they and what do you need to know about them? Debt consolidation programs are to be appraoched cautiously, but ultimately will help you out.
You should be very aware that all these programs do is shift your debt – a debt consolidation program does not eliminate your debt. You owe the money and will still have to pay it back.
Only work with a reputable institution that you know you can trust -- some junk mail can get you into a bad deal. By consolidating various smaller debts like credit cards or personal loans into one large debt, you may be able to reduce interest rates or lower your monthly repayments.
