Should Debt Consolidation Play a Role in Ending Debt for You?

Photo by Dylan Gillis on Unsplash

If you’ve been following along, you may recognize that I’ve been working on a series on the role that financial debt plays in our life. Here are the first two articles in that series:

• Three Strategies for Using Debt Responsibly — Read it on Medium, Hive, My Blog
• Three Approaches to Paying off Bad Debt — Read it on Medium, Hive, My Blog

In response to the article on paying off bad debt, reader Bozz asked my thoughts on debt consolidation. Here is his comment on that article:

In this article, I will talk specifically about how I feel about debt consolidation.

What is debt consolidation?

Debt consolidation is taking multiple debts and putting them together in a single loan or account. For example, you might have three personal credit cards with balances of $1000, $3000, and $1800. Instead of having to pay three different monthly bills each month, you work with your bank to get a personal consolidation loan — one of the strategies we’ll discussion in the next section of the…