Question 1

Is debt consolidation worth it?

Accepted Answer

Debt consolidation is worth it when you can get a significantly lower interest rate than your current debts (especially credit cards at 18-22%) and you commit to paying off the consolidation loan within a set term. The key risk is running up credit card debt again after consolidating.

Question 2

What debts can be consolidated?

Accepted Answer

Most unsecured debts can be consolidated including credit cards, personal loans, buy now pay later debts, medical bills, and overdue utilities. Secured debts like car loans can sometimes be included. HECS/HELP debts cannot be consolidated as they are government loans.

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