What is the most efficient way to consolidate debt?

I want to con. all my loose debt (credit cards, a small 5 thousand dollar loan, etc). Can i do all of this without hurting my FICA (credit score)?

What is the most efficient way to consolidate debt?
If you spend more than you make, forget it. Consolidation will only give you more room to spend. The only solution is to make more than you spend.





The best solution is to take one debtor (highest interest) and work to pay them off quickly, making minimums payments on the others. Then tackle the next and the next.





Best long range habit to have is "pay yourself first" meaning take 10% of every dime that comes in and put it in savings before you pay bills. The only way to get ahead. Then, don't buy if you can't afford. Put money aside for things you want and don't get them until you've built enough reserve to buy. This is of course after the 10% you've put away.
Reply:Budgeting and a planned attack on reducing your debt. First, find out what you can pay as a minimum on all your detb sources. Then if you still have a little money bugeted towards your debt, apply it to the one with the worst percentage rate. Apply this technique with balance transfers too. You have all the information you need, so figure out the best case scenario to reduce your debt.
Reply:The first step is to make a plan where you are getting more income than you are paying out, including the minimum payment for your debts. You may find at this point that you need more income, so you might need another job or source of income. Make sure your plan is realistic and follow it for a couple of months.


At this point you are ready to re-organize your debt.


If your FICO score is good, the best thing is to get a credit card with a 0% intro balance transfer rate. Transfer your worst debt(highest interest rates)to this card. Throw away those card, only close the account if it has a bad payment history. Make sure you only transfer an amount that you can pay-off in the intro period with the surplus you have. Put any extra surplus in a bank account to help build up a rainy day fund for situations such as your car breaking down.
Reply:No. If you go thru one of those debt consolidation agencies, you're credit score and ability to obtain credit will greatly suffer. The best way, is to roll your debt into your mortgage. Provided that you have one.





There is no easy eay to do it unfortunetly, but if you don't own a house, this maybe the time to buy one, and roll your debt into the house... and stop spending :) I am refinance my house right now and this is exactly what we are doing. Even our cars are getting paid off and we will be able to save over 2000 a month by doing this. Good Luck!