Consolidated Credit – A Lifeline When Drowning in Debt
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While many Americans used their stimulus checks and the stay-at-home order during the COVID-19 pandemic to control their credit card debt and finances, things are very different nowadays. With inflation rising and wages stagnant, many people have reached for their credit cards more or even taken out personal loans.
Looking into a debt consolidation loan or debt management program could be worthwhile if you have a bad credit score or are drowning in credit card interest. Lowering your monthly payments or even getting a lower interest rate can greatly improve your credit score.
When it comes to debt relief, one option to consider is Consolidated Credit. Learn more about what to expect when using Consolidated Credit and the pros and cons of this company’s services in this review to see if they fit your financial situation well.
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What is Consolidated Credit?
Consolidated Credit is a credit counseling agency that has been offering its customers free consultations and credit counseling for nearly three decades. One of the ways that it achieves its mission of helping others get out of debt beyond its credit counseling services is through free resources and financial education to help its clients stay out of debt once their debt is under control.
Part of how it helps provide these resources is by partnering with various non-profit credit counseling organizations. In addition to aligning with organizations that can help you, Consolidated Credit also has its own bonafide to give you peace of mind. At the same time, you work to get your debt amount under control. Regarding accreditations, the Better Business Bureau (BBB) gives Consolidated Credit an A+ rating. Consolidated Credit reviews on Trustpilot are also quite high, with an average rating of 4.8/5.0.
Relieve $25k+ in Credit Card Debt or Personal Loan Debt With TurboDebt
- Relieve $25k+ in credit card debt or personal loan debt with this special relief program.
- TurboDebt has a Trustpilot rating of 5/5 based on 1288 reviews
- Subject to qualification and approval. $1,500 monthly income required.
- Apply in 5 minutes. If you qualify, chat online with a friendly online debt representative.
How does Consolidated Credit work?
Consolidated Credit’s website advertises an easy, 3-step process to get the ball rolling regarding your debt settlement. You’ll start by talking to a certified credit counselor for free. They’ll also help you determine if you qualify for a debt management plan and look at your budget.
From there, you can enroll in the program, and Consolidated Credit will work with your creditors to lower interest rates while you make one monthly payment to knock out in your debt in 30 to 60 months.
Getting started is super easy. You’ll start by requesting a free, confidential evaluation with a credit counselor, who will then be able to walk you through the full process.
To schedule your consultation, you only need to answer a few questions about yourself and wait for their call. This includes personal information like your first and last name, as well as your email address and phone number. You’ll also be asked to include your zip code and the amount of debt you want addressed through your payment plan. The lowest range Consolidated Credit Solutions can help is $1,000 to $4,999.
If you need someone who speaks Spanish to discuss your options, there’s even a checkbox to click, and a Spanish representative will reach out to you.
How much does Consolidated Credit cost?
While a consultation with Consolidated Credit is free, there are a few set-up and administrative fees that you’ll want to weigh when deciding whether or not to move forward with a debt management plan from the company.
Fees range in cost based on your location, budget, and total debt you owe. A low monthly fee is charged to help service your account, and a one-time setup fee (capped at $79) is charged when you’re starting. This is rolled into your overall repayment plan and, on average, is about $40 for most customers.
Consolidated Credit features
Debt analysis
One of the best things Consolidated Credit offers is its debt analysis service, which is free. This meeting with a credit counselor considers your debts and personal finances. It offers an in-depth look at how you can improve more than just your credit report but also your financial habits.
Customer service
Whether you prefer to talk to someone via live chat, over the phone, or via email, once you’re enrolled with Consolidated Credit, you’ll always be able to reach someone helpful. Best of all, each customer support rep is an expert who can help you address your issues, not just some outsourced call center representative with little to no understanding of credit counseling.
Several options for debt relief
Consolidated Credit wants to help you get the right debt relief for your financial situation. That’s why they offer various services, including debt management programs, credit card balance transfers, and low-interest personal loans. These options will be discussed with you by your credit counselor during your free debt analysis, so you don’t need to worry about picking the right or wrong solution.
Relieve $25k+ in Credit Card Debt or Personal Loan Debt With TurboDebt
- Relieve $25k+ in credit card debt or personal loan debt with this special relief program.
- TurboDebt has a Trustpilot rating of 5/5 based on 1288 reviews
- Subject to qualification and approval. $1,500 monthly income required.
- Apply in 5 minutes. If you qualify, chat online with a friendly online debt representative.
Who is Consolidated Credit best for?
Consumers who have been struggling with debt for a while
Suppose you’re concerned that your behaviors are part of the reason you’re still in debt. In that case, Consolidated Credit’s partnerships with credit counselors and non-profit organizations are a win-win for you. To get out of debt—and stay out of debt—you need someone in your corner who understands you. Consolidated Credit’s debt management program offers that to customers.
Consumers with high-interest debt
Suppose the reason you’ve fallen behind is due to high-interest rates. In that case, you’ll appreciate the fact that Consolidated Credit negotiates with your creditors to lower APRs so that you have a much more manageable debt load to tackle.
Who shouldn’t use Consolidated Credit?
Consumers with tight budgets
A monthly fee and other set-up fees may be reasons to steer clear from Consolidated Credit if you’re on a particularly tight budget or limited income.
Consumers with minimal debt
While there’s nothing wrong with using Consolidated Credit to tackle smaller amounts of debt, the company truly shines in its debt management services. These have less of a place in consumers' lives with minimal debt, although that’s not to say you wouldn’t benefit from a free debt analysis from the service.
Pros and cons
Pros
- Reputable company. Consolidated Credit has helped over 10 million people with their credit card debt over 30 years.
- Simple sign-up process. The form you fill out to register your interest in Consolidated Credit is very straightforward. It also connects you with a live agent who can walk you through any questions you may have and help you set up your debt management plan to maximize your success.
- Fast. Thanks to your APR being lowered as part of Consolidated Credit’s debt management solution, most consumers can pay off their debt in as little as 30-60 months.
Cons
- You have to talk to someone on the phone. This shouldn’t be as big of a deal as it is, but for some people, talking to a stranger on the phone, especially about something as personal as their finances, may be a drawback to Consolidated Credit.
- Fees. Paying monthly fees on top of start-up costs (even if they’re the reason that Consolidated Credit can offer excellent client services) is a bit of a bummer, especially when you’re already paying them your monthly payment, too. If your budget is tight, this is an important factor.
- You have to do the work. Just because you get out of debt once doesn’t mean you’ll stay out of debt. Consolidated Credit offers debt counseling services to help address this, but unless you’re all in, you may find yourself back in a hole.
Consolidated Credit vs. competitors
Service | BBB Rating | TrustPilot Rating | Fees |
Consolidated Credit | A+ | 4.8/5 | $79 setup + average monthly fee of $40 |
National Debt Relief | A+ | 4.7/5 | 15%-25% of total enrolled debt |
Freedom Debt Relief | A+ | 4.6/5 | 15%-25% of total enrolled debt |
National Debt Relief
National Debt Relief sounds like a governmental agency; however, it’s the name of a company that offers debt relief solutions, just like Consolidated Credit. If you look at their BBB and TrustPilot ratings, they are quite similar in ranking to Consolidated Credit. Even so, their fees could be much more costly than Consolidated Credit, depending on how much debt you are trying to take care of. This is because National Debt Relief’s fees cap out at 25% of the total enrolled debt, meaning that getting $10,000 of debt could cost you $2,500.
Freedom Debt Relief
Freedom Debt Relief is similar to National Debt Relief regarding fees, which could make it a non-starter for many consumers. On top of that, they have a slightly lower TrustPilot rating than National Debt Relief and Consolidated Credit. Freedom Debt Relief still has an A+ ranking from the Better Business Bureau, but of the three options, they are the weakest competitor in this lineup regarding debt relief.
FAQs
Do you need to enroll with your spouse if you’re married?
Whether or not you enroll with your spouse depends on the specific accounts you are looking for assistance with. For example, if your debt is on a joint credit line, you must enroll with your spouse. However, if you are the only individual associated with the account, you aren’t required to enroll with your partner.
Can I make extra payments?
Yes! If you want to pay down your debt earlier by tossing some extra cash at it, you are well within your rights. This is a great strategy to get debt free and tackle your unsecured debt once and for all, and you won’t need to worry about prepayment penalties as a result of making extra early payments.
How are interest rates determined?
Interest rates are a major component of how and why some people stay in debt longer than they’d like. Consolidated Credit’s credit counseling team works with lenders and creditors to reduce the APR on certain cards as part of its debt management program. Depending on negotiations, you can expect your APR on some accounts to reduce to as low as 0% but up to about 11%.
Relieve $25k+ in Credit Card Debt or Personal Loan Debt With TurboDebt
- Relieve $25k+ in credit card debt or personal loan debt with this special relief program.
- TurboDebt has a Trustpilot rating of 5/5 based on 1288 reviews
- Subject to qualification and approval. $1,500 monthly income required.
- Apply in 5 minutes. If you qualify, chat online with a friendly online debt representative.
The bottom line
Getting out of debt can be challenging, and having a team of experts in your corner can make all the difference. Consolidated Credit has a decades-long reputation of being in that corner for millions of consumers, and thanks to the variety of debt relief options they offer, you’re bound to find something useful using the company.
One of the biggest perks of Consolidated Credit is the fact that you can get the ball rolling with a free debt analysis that lets you see where your personal finances are at and how you can go about addressing your debt issues. They will even work with creditors to lower interest rates so you can make payments without digging a deeper hole.
While there’s a lot to love about Consolidated Credit, their monthly fees may be a non-starter for some consumers. They’re worth researching if you’re truly interested in getting out of debt. A free consultation will take about 20 minutes and could prove to be one of the best financial decisions you’ve ever made. Consolidated Credit could give you the insight to make the right choice for you and your family if you're on the fence about debt relief.
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Writer
Brent Ervin-Eickhoff is a Chicago-based writer, stage director, and filmmaker with a background in digital marketing and content creation. In addition to Joy Wallet, Brent has written for Complex, Volkswagen, HowlRound, Picture this Post, and Third Coast Review, among others. He currently serves as the Associate Director of Marketing for Content Creation at Court Theatre at the University of Chicago. Brent graduated from Ball State University with Academic Honors in Writing.
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