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15 Debt Consolidation Companies

15 Debt Consolidation Companies

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If you feel overloaded with debts and you have a hard time paying off your loans, debt consolidation companies are there to help you.

But with several companies available, how will you know which one to choose?

Here we list 15 debt consolidation companies to choose from, based on the interest rates, fees, and terms.

What Are Debt Consolidation Companies?

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Understanding Debt Consolidation Companies

Debt consolidation companies help you pay off your loans by merging your debts into a single payment.

In doing this, a new and bigger loan will be taken out, thus paying off a lot of your current debts.

Also, you won’t have to pay different creditors since you will be paying just one bill for the new loan.

But, you have to pay the principal amount you owe because it will not be reduced.

Learn more about debt consolidation here.

If you haven’t had the chance to scout for one, we have listed 15 debt consolidation companies to choose from.

1. InCharge Debt Solutions

A trusted and reputable organization, InCharge is famous for their efforts in improving financial literacy since 1977. The company prides themselves in having helped at least a million people in repaying their debts worth $2.8 billion.

  • Services available: Credit counseling, bankruptcy education, debt management services, educational initiatives and housing counseling.
  • Debt range: At least $1,000
  • Fees: $55 paid monthly, and is based on the percentage of the borrower’s payment; $75 setup fee which varies per state
  • Interest rate: Helps lower the borrower’s interest rates within five years
  • Term: 30 or 60-month terms

2. PersonalLoans.com

PersonalLoan offers competitive rates too. Their service is focused on offering 3 different types of personal loans available to all 50 states, but eligibility will still vary by state.

Although a range of interest rates are specified, it is difficult to determine what kind of APR will apply to the borrower, what fees you will have to pay, and other vital information which is easier with a direct lender.

  • Services available: Personal loans
  • Debt range: $1,000 to $35,000
  • Fees: To be determined after application
  • Interest rate: 5.99% to 35.99%, but will depend on your credit score and other factors such as repayment history (variable rate)
  • Term: 6 to 72 months

3. Lending Club

Being the nation’s biggest peer-to-peer lender, borrowers prefer Lending Club because of the competitive interest rates, transparent and user-friendly website, BBB accreditation with an A+ rating and of course, they fund loans up to $40,000.

However, regardless of meeting the requirements, not everyone who applies is approved.

  • Services available: Personal loans (available in all states except for West Virginia and Iowa)
  • Debt range: $1,000 to $40,000
  • Fees: $15 check-processing fee for every check payment
  • Interest rate: 5.99% to 35.89% (fixed rate)
  • Term: 30 or 60-month terms

4. Avant

Unlike Lending Club, Avant offers access to loans to borrowers with lower credit scores. Since they are not a peer-to-peer lender, they give access to loans through Avant’s lending platform–which can benefit borrowers who will need cash immediately. Borrowers can get their funds the next day.

  • Services available: Personal loans
  • Debt range: $1,000 to $35,000
  • Fees: $25 late payment fee in most states
  • Interest rate: 9.95% to 35.99% (fixed rate for personal loans from $1,000 to $35,000)
  • Term: 24 to 60 months

5. LightStream

Operating under SunTrust Bank, LightStream gives debt consolidation loans with very low APRs through Autopay. However, to be eligible, the borrower should have a very good credit, above average income and significant assets.

While they provide a competitive service, this will only benefit a niche, given the requirements.

  • Services available: Debt consolidation loans
  • Debt range: $5,000 up to $100,000
  • Fees: None
  • Interest rate: 2.19% to 17.99% (fixed rate for an unsecured auto loan only and ranges from $10,000 to $24,999)
  • Term: 24 to 84 months

Note: Monthly payment for a loan worth $10,000 with a 5.99% APR for a 3-year term will have to be $304.17 for 36 months.

6. Prosper Funding

Prosper is the pioneer in a marketplace lending platform in America which has funded at least $9 billion worth of loans. When determining the APR, your credit history and other factors are taken into account.

  • Services available: Unsecured personal loans
  • Debt range: $2,000 up to $35,000
  • Fees: Origination fee worth 1% to 5% of your loan; late payment fee of $15 or 5% of the monthly payment
  • Interest rate: 5.99% to  36.00% (fixed rate)
  • Term: 12 to 60 months

7. Wells Fargo

Wells Fargo is the largest based on market capitalization and the third largest bank in terms of assets in America. They offer a higher debt range and several options for debt consolidation loans among others. However, fees and interest rates are relatively higher.

  • Services available: Secured and unsecured personal loans
  • Debt range: $3,000 up to $250,000
  • Fees: Origination fee is $75 for a secured loan; late payment fee or insufficient funds is $39
  • Interest rate: 5.99% to  36.00% (variable rate)
  • Term: 12 to 60 months

8. National Debt Relief

National Debt Relief helps individuals free themselves from financial debt through debt settlement. They also offer debt consolidation, but their rates are higher than most companies. They also usually not consider new loans for borrowers with a low credit score.

  • Services available: Debt reduction services and financial consultations
  • Debt range: At least $7,500
  • Fees: 18% to 25% of amount settled
  • Interest rate: 12% to 30% (variable rate)
  • Term: 24 to 36 months

9. New Era Debt Solutions

Borrowers prefer New Era Debt Solutions because of their transparency and good rates. Not only do they consolidate loans, but they also negotiate with the lenders to decrease the amount a borrower has to pay.

  • Services available: Debt consolidation and debt settlement (available in 42 states)
  • Debt range: $5,000 to %10,000
  • Fees: No upfront fees
  • Interest rate: 14% to 20% (variable rate)
  • Term: 36 to 48 months

10. CuraDebt

CuraDebt is known to have a consumer-friendly website. Their online customer service chat feature is available for borrowers who would like to ask questions online first.

  • Services available: Business and personal debt consolidation (available in 38 states)
  • Debt range: At least $7,500 (but sometimes, they consider $5,000)
  • Fees: 20%
  • Interest rate: 8% to 10% (variable rate)
  • Term: 24 to 48 months

11. Accredited Debt Relief

Accredited Debt Relief provides an in-depth overview of various relief options. With Accredited, the borrowers have the option to choose which best suits their financial situation and timeline.

  • Services available: Debt consolidation loans, bankruptcy, and other services to help you manage your money
  • Debt range: At least $7,500 (varies per state)
  • Fees: No upfront fees
  • Interest rate: 4% to 8% (variable rate)
  • Term: 24 to 48 months

12. Pacific Debt Inc.

Based in San Diego, Pacific Debt Inc. was founded in 2002 to help American consumers with their debt through several options.

  • Services available: Debt settlement, bankruptcy, credit counseling and home equity loans
  • Debt range: $10,000 worth of unsecured debts which includes credit cards, medical bills and other lines which were sent to collections.
  • Fees: No upfront fees
  • Interest rate: 15% to 22% (variable rate)
  • Term: 24 to 48 months

13. Debtmerica

Debtmerica helps borrowers free themselves from debt through settlement. Their relief team aims for Americans to get financial independence and personal fulfillment.

  • Services available: Debt relief services
  • Debt range: Minimum of $10,000 in unsecured debts (may vary per state)
  • Fees: No advanced fees
  • Interest rate: 20% to 24% of the borrower’s enrolled debt (variable rate)
  • Term: 24 to 48 months

14. Premier Debt Help

Premier Debt Help takes pride in offering programs that will help families by educating them in their finances and in paying off their debt.

  • Services available: Debt relief services
  • Debt range: Minimum of $5,000
  • Fees: No upfront fees including management or account fees
  • Interest rate: 20% of the borrower’s enrolled debt (fixed rate)
  • Term: 12 to 42 months

15. Superior Debt Relief Services

Having been in the industry for almost 20 years, Superior Debt Relief Services commit themselves in lowering the consumers’ credit card debt and at the same time, help them improve their financial habits.

  • Services available: Debt consolidation program
  • Debt range: At least $10,000 in unsecured debts (may vary per state)
  • Fees: No upfront fees
  • Interest rate: 35% of the settled amount of debt (variable rate)
  • Term: 1 to 42 months

In choosing a debt consolidation company, you need to understand your situation first and then research on which company best suits your situation and needs.

One way of knowing if you have found your debt consolidation company is when both of you have identified what is needed to address the problem, you both agreed on the time frame to solve it and most importantly, choosing which debt consolidation program works best for you.

Important things to consider in choosing among debt consolidation companies

  • Competitive interest rates
  • Geographical reach (whether it applies to all 50 states or not)
  • Wider range of loan amounts and terms
  • Fees (lower interest rates but with huge fees)
  • Reviews (consider also how long the company has been in the business)

Here’s a video from ehowfinance about how debt consolidation companies work:

Paying your debts can sometimes be challenging, especially if you have financial problems.

One way to lessen up your burden is by having your debts consolidated by a debt consolidation company.

Apart from easier payment of different debts, you can even have lower interest rates.

Tired of paying your debts? Here’s a step-by-step guide on how to get out of it. What other debt consolidation companies can you recommend? Share it via the comment section below!