Can debt consolidation help cash strapped families
A think tank has called for the poorest families in the country to get more help with their finances, but some could help themselves by looking into debt consolidation.
The Centre for Social Justice (CSJ) has produced the Maxed Out report, which shows that the average UK household has debts of £54,000, including mortgages – almost twice as much as a decade ago.
It also revealed that the poorest ten per cent of households are paying out nearly half of their gross monthly income on debt repayments. However, these people could possibly reduce the amount they pay back each month by looking into a debt consolidation loan.
This would lead to their unsecured debts being paid off using the equity in their home, resulting in smaller repayments, although more interest may be payable over the term of the loan. So it is a balance of borrowing only what you need and then being vigilant by not running up the unsecured credit debts again.
What`s more, First Choice Finance can even help people who have been unlucky enough to incur a credit rating to still get a deal that`s suitable for them. Discover how by calling 0800 298 3000 from a landline, 0333 003 1505 from a mobile or by visiting firstchoicefinance.co.uk.
Homeowner Secured Loans
Rates From 7.1% APRC
Representative Example £30,000 over 72 months @ £679.90 repayments. Total payable of £49,949. 20.1% APRC including £2,975 intermediary fee and a £995 lender fee. Loans secured on property.
First Choice are tied to certain loan providers.
Mortgages & Remortgages
Borrow £80,000 over 25 years
At 4.6% Variable, £461.95 for
300 months. Total Payable
£138,585. Total Cost Of
Credit £58,585 (incl £1360 fee).
Unsecured Personal Loans REPRESENTATIVE 49.9% APR (VARIABLE)
First Choice are tied to certain unsecured lenders.
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT. Security is required on
Established In 1988. Company Registration Number 2316399. Authorised & Regulated By The Financial Conduct Authority (FCA). Firm Reference Number 302981. Mortgages & Homeowner Secured Loans Are Secured On Your Home
First Choice Finance is a trading style of First Choice Funding Limited of The Old Courtyard, 103 Buxton Road, High Lane, Stockport, Cheshire. SK6 8DX. Copyright protected 2014-2018.