What It Means
Debt consolidation means combining several debts — such as personal loans or credit cards — into a single facility, sometimes using property finance such as equity release.
Why It Matters
Consolidation can simplify repayments and may reduce your total monthly outgoings. Whether it is possible and worthwhile depends on the lender's criteria, the rates involved and any applicable fees.
Simple Example
A homeowner with several personal loans may explore refinancing or equity release so the debts are cleared through one property-linked facility — subject to lender criteria and assessment.
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