How Can Debt Consolidation Help You Out?
Are you feeling overwhelmed with bills? Are your credit cards maxed out? Are you considering filing for personal bankruptcy? If you answered yes to any of these questions, then debt consolidation just might be the solution you have been searching for.
The way that a typical debt consolidation strategy works is that you combine all of your existing loans into a lump sum on which you make monthly payments. The major appeal of a debt consolidation plan is that you will not have the stress of worrying about how to juggle a long list of separate monthly bills. Instead, you can make consistent payments on a single amount. This also makes it less likely that you will accidentally forget to make a payment one month and incur expensive late fees and charges.
One of the things that you should be aware of when you consolidate your debt using a personal loan is that you might end up paying a higher interest rate on the personal loan than on some of the individual monthly debts. You will need to balance this against the principal amounts of those debts to see if you would be spending too much money on interest for the convenience of only having one monthly payment to worry about.
Is USAA a Good Choice for a Personal Loan?
USAA offers a simple online application for taking out a personal loan and generally receives positive reviews from its members. The advantage of this option is that you will get a decision much faster than having to go to a USAA branch location in person in order to submit a personal loan application. There also is no fee for applying for a personal loan from USAA. If you are approved by USAA, then you can expect to receive your funds as soon as the next business day. This means that you will be on the road quickly to putting your financial worries behind you.
On USAA’s website, you will find useful tools for figuring out whether a personal loan for debt consolidation makes sense in your case. You will be able to compare interest rates for your current credit cards against what you would potentially pay for a personal loan. Your credit score will help determine the interest rate that you qualify for, so you may want to have an idea of your credit score before you start the application process.
In order to qualify for a personal loan from USAA, you must be able to show that either you or your eligible family member served in the armed forces. If you are currently an active military member, then you will have no problem meeting the eligibility requirements to bank with USAA. You can find out whether you meet the USAA eligibility criteria by clicking here.
Keep in mind that you will not be hit with a penalty for paying off a personal loan from USAA early. If you are able to take advantage of a lower interest rate and can direct more of your payment to the principal amount, you may find that your debt will vanish quicker than you expected.