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Debt Consolidation in Edmonton

Of all the ten provinces in Canada, Alberta struggles the most with consumer debt. Consumer debt is going up every day in the city. Consumers are feeling the pinch of their debt and are seeking debt relief options. Some of the options that Edmonton residents struggling with debt seek include consumer proposals, filing for bankruptcy, debt settlement, and debt consolidation in Edmonton.

Debt consolidation in Edmonton, Alberta, will help you manage your debts better. If you have multiple loans, say three credit cards that you need to pay every month, consolidating your debts will see you paying less every month. If you are using almost all your monthly income to pay off debts, you need to consider debt consolidation. We created this guide to help understand debt consolidation in Edmonton.

How Debt Consolidation in Edmonton Works

There are two ways through which you can consolidate your debts in Edmonton; through a debt consolidation loan in Edmonton or a debt consolidation program.

Debt consolidation loans in Edmonton allow you to get a loan that pays off all other debts you have. You will then pay off this loan in monthly installments over a long period as agreed. When seeking debt consolidation loans in Edmonton, AB, check the interest rates to ensure you get the best deal.

A debt consolidation program involves a professional negotiating with your creditors on your behalf. These programs are great when you have bad credit, and creditors will not approve your bank loan. The expert will help you find the best debt consolidation in the Edmonton option and then negotiate terms on your behalf.

Debt consolidation loans are either secured or unsecured. Most banks and credit unions will require that you have the following to qualify for debt consolidation loans:

  • Reliable income
  • Collateral
  • Co-signer (for borrowers with bad credit)

If you do not have collateral, you will need the other two to qualify. However, some lenders are willing to offer consolidation loans without collateral or cosigner but with a reliable income. The same lenders who offer payday loans on disability income are eager to approve your consolidation loans with proof of residency and proof of income.

Debt Consolidation in Edmonton, Alberta: What Can You Use it For?

Debt consolidation loans in Edmonton, AB are great when you need to control your debts. If you have multiple debts and your paycheque is strained, consolidating your debts will help you stay within your income budget. This will help you avoid defaulting on your debts seeing that you will be paying less every month. Better yet, if you make monthly payments for high-interest loans, debt consolidation loans in Edmonton, AB might reduce the interest rates you pay on your outstanding debts.

When you have multiple loans that demand payments, say three credit cards that demand credit payments every month, you are at risk of defaulting. For starters, multiple loans will affect your credit history. Defaulting on one or more loans will affect your credit history even more. When you consolidate your debts in Edmonton, you have a better chance of building your credit.

Finding the Best Debt Consolidation in Edmonton, Alberta

Are you shopping for the best debt consolidation in Edmonton? Start by considering local lenders willing to consolidate your loans with a loan at a lower interest rate. The lowest cost debt consolidation option will make your debts more manageable.

You can get debt consolidation loan in Edmonton in the form of a second mortgage, known as a home equity loan offered based on the value of your home. You can negotiate the terms of loans or hire a mortgage broker to negotiate the terms for you. Professionals can get you the best deal to take care of your financial trouble but they charge a fee.

When picking a lender to consolidate your loans, always go for a licensed lender – licensed lenders are less likely to charge you exorbitant interest rates or go against set rules and regulations. Established lenders will offer you more than one debt consolidation option. When you have different debt consolidation approaches, you can pick the one that makes your debts manageable. Whichever option you decide to choose, ensure that you get the lowest interest rates. Options such as payday loans are easy to get but they have very high fees.

Instead of high interest loans, such as payday loans, consider personal loans and secured loans such as car loans to consolidate your loans.

You can also check the reputation of lenders on Better Business Bureau Edmonton or Kijiji. Lenders on BBB Edmonton are reviewed and licensed based on the BBB business vetting process. Consumers will also review businesses and file complaints to help you choose the best lender for debt consolidation loans. Avoid lenders with more negative than positive reviews. Go for lenders with top-notch customer service and low interest rates.

Trust Loans Geeks for Finding the Best Debt Consolidation in Edmonton

The easiest way to pick the right lender for debt consolidation loans in Edmonton is to choose one on Loans Geeks. Loans Geeks lists licensed creditors and then reviews them and ranks them based on their interest rates, their customer service, and a myriad of other factors. Simply, Loans Geeks does the legwork for you so all you have to do is apply for a debt consolidation loan in Edmonton.

Besides checking out reviews, you can apply for a loan through Loans Geeks to consolidate all your other loans. If you have bad credit, you can check out payday loans with no credit check or payday loans with no bank statement. Whichever loan product you need, Loans Geeks has you covered.

Difference Between Consumer Proposal and Debt Consolidation in Edmonton

A consumer proposal is filed through a licensed insolvency trustee. It is an alternative to filing for bankruptcy. With a consumer proposal, the terms of your loan are negotiated for you to come up with the best payment plan for you. You can then pay your consolidated loans over a long period, up to five years. Consumer proposals differ from debt consolidation in Edmonton, Alberta in that the loan amount and the interests might reduce with a consumer proposal. With debt consolidation loans in Edmonton, AB, your loan amount does not change after consolidation.

You can negotiate your debt consolidation option, but you need a licensed trustee to negotiate the payment terms for your consumer proposal.

Conclusion

It is easy to access debt consolidation loans in Edmonton. Whether you are in Edmonton Corridor, Jasper National Park, Edmonton City Centre Airport, or West Edmonton Mall, you can easily apply for debt consolidation in Edmonton Alberta online. There is a lot to enjoy in Alberta’s central region, christened Canada’s festival city, and you need not let bad debts get in the way of that.

However, in a rush to consolidate your debts, ensure that you do not fall into the traps of predatory lenders. One of the reasons why Alberta has a high consumer debt is people who fell for bad debts and are now on a debt cycle they can never get out.

5 Biggest Banks in Edmonton

  1. Tangerine
  2. Scotiabank
  3. CIBC
  4. Royal Bank of Canada
  5. Bank of Montreal

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  1. Fort Edmonton Park
  2. Edmonton Valley Zoo
  3. Sir Winston Churchill Square
  4. Borden
  5. Castle Downs

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Frequently Asked Questions

How does debt consolidation in Edmonton work?

When you need to consolidate your debts in Edmonton, you either get a loan that pays off all your other debts or joins a debt consolidation program where a professional negotiates with your creditors to get you the best deal. The loan amount remains the same when debts are consolidated but the interest rate might reduce.

What is a debt consolidation loan in Edmonton?

A debt consolidation loan is a loan you take to pay off multiple debts. Instead of paying off multiple debts every month, you will not pay one debt every month for a longer time.

How does debt consolidation in Edmonton affect my credit?

When you consolidate your debts, you will have less debts, and this will have a positive impact on your credit. Again, your debts are manageable, and clearing them off will help you build your credit history. Defaulting on a consolidated loan will negatively affect your credit history.

How do I apply for debt consolidation in Edmonton?

You can apply for debt consolidation in Edmonton through banks and credit unions, through local lenders or from online lenders. Most online lenders offering guaranteed payday loans in Canada are willing to consolidate your loans even with bad credit.

How do I get a debt consolidation loan without collateral in Edmonton?

Most banks will only consolidate your loans if you have collateral. If you do not have that, you will need a co-signer and proof of reliable income. If banks do not approve your application to consolidate loans, consider other lenders.

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