Is consolidating your bills good
It does not cost anything to apply for a loan in order to consolidate all your debts. Inquire at the financial institution that you choose.Although this option may help you save on interest charges, you still have a combined debt, which represents the total of your old debts.This option may be suitable for debts such as those relating to credit cards, public utilities or other consumer loans.However, not all debts can be combined into a consolidation loan — a mortgage cannot be included, for example.
A debt consolidation loan is a single loan (generally from a financial institution) that allows you to repay your debts to several or all of your creditors at once.If you have bits and pieces all over, you can't see what your asset allocation really is.Your investment returns will suffer and you'll feel frustrated." Using only one financial institution for all your investments also allows you to build a solid relationship with an adviser who can oversee your total financial picture."If you have 0,000 or less, then you will benefit from having your RRSPs, TFSAs and other investments all at the same financial institution," says Dekanic."That allows you to see the big picture and to avoid duplication.
In most cases, the financial institution will settle all the debts for you and, in return, the only monthly payment you will have to make will be to them.