Consolidation Plus Review – Invite-Only Debt Consolidation
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All it takes is one bad month, a job loss, or a large unexpected expense to put someone in debt. Unfortunately, it’s much harder to get out of debt than it is to get in. Being saddled down with debt can take a major toll on your emotional and financial well-being, and taking control of the situation as best as you can is important. That’s why there are programs and options out there to help. Starting your debt-free journey, it’s important to be aware of all those options, including Consolidation Plus.
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What is Consolidation Plus?
Consolidation Plus is a company that offers an invite-only consolidation loan program to qualified borrowers. Its loans offer fixed rates with no prepayment penalties to help borrowers simplify their debt repayment and save money. With these loans, you can end a debt settlement program early and use the loan to help build positive credit while you continue working to become debt-free.
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- Apply in 5 minutes. If you qualify, chat online with a friendly online debt representative.
How does Consolidation Plus work?
Consolidation Plus works with eligible borrowers already enrolled in debt relief or debt settlement programs. Unfortunately, there is no way to sign up for Consolidation Plus unless a loan consultant reaches out to you to invite you to apply. If a loan consultant does reach out to you, they can talk to you about your loan options and let you decide whether you want to apply.
To qualify for Consolidation Plus, there are a few requirements. First, you must currently enroll in eligible debt relief or debt settlement program. Not only that, but you must be making regular deposits to the debt settlement program’s special purpose account. This is required because Consolidation Plus wants to make sure that you can make deposits toward your debt. Your credit history, credit report, and credit score may also be determining factors.
If you qualify for and apply for Consolidation Plus, you’ll also need to submit information about your bank and income. Consolidation Plus typically reviews applications within two to four days after all of the information is submitted and decides about eligibility within that time frame. When Consolidation Plus approves applications, it also chooses an interest rate and repayment term customized to fit each person’s financial situation. If you receive an offer, all you need to do is accept the loan if you would like to move forward.
When you accept an offer from Consolidation Plus, you’ll let the company handle the next steps with your debt settlement company. Consolidation Plus will provide the funds to settle all your remaining debt to your debt settlement company. It will also provide the funds to pay any debt settlement company’s fees. After this, your debt settlement program will be completed. All you need to do is repay Consolidation Plus for your loan instead of making deposits into your debt settlement program.
How much does Consolidation Plus cost?
Since Consolidation Plus offers consolidation loans, there are some costs involved that you should be aware of. Unlike a debt settlement program, you’ll be making a single monthly payment to your Consolidation Plus, which can help you pay off debt quicker than if you were using an alternate method to get out of debt.
Some of the costs to consider if you receive a Consolidation Plus loan offer include:
Interest rates
Consolidation Plus loans come with a fixed interest rate, which means that the rate you accept when you accept your loan offer is the rate you will pay for the loan's lifetime. Interest rates are based on factors such as your credit and financial history, and each loan has a custom rate.
Loan amount
The amount you borrow from Consolidation Plus will impact the amount you have to pay back for a few reasons. First, the more you borrow, the more you will have to repay. You’ll also have more interest to pay over time with a higher loan amount with a longer repayment term.
Other fees
Consolidation Loan charges an origination fee of 5.99% for all of its loans. This fee covers the loan application and processing fees. However, there are no prepayment fees or paying off your loan.
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- 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.
Consolidation Plus features
Invite-only consolidation loans
Consolidation Plus is unique in that it does not accept unsolicited applications. A loan consultant from the company will reach out to borrowers enrolled in select debt settlement programs to invite them to apply for a Consolidation Plus loan. This feature does eliminate the number of people who may be able to get a Consolidation Plus loan. However, it also benefits borrowers by having one-on-one contact with a consultant. Loan consultants will discuss loan options with each borrower to help determine whether a Consolidation Plus loan is the right option.
Accepts bad credit
Consolidation Plus is also unique because, unlike other debt consolidation programs, a bad credit score is not a barrier to qualifying for a loan. With this company, the most important thing is whether you are making on-time payments to your current settlement program. The company may also consider the status of other debts not enrolled in a debt settlement program, such as auto loans, student loans, and mortgages.
Reports to credit bureaus
One of the great things about Consolidation Plus is that if you make on-time payments, you may be able to use the program to help boost your credit score over time. The company will report your monthly payments to the three main credit bureaus, allowing you to establish a positive payment history.
Quick process
You may not be able to seek out Consolidation Plus on your own, but if you are eligible to apply for a loan, you can expect the process to go by quickly. After speaking with a loan consultant and applying, your application will be reviewed within two to four days after submission. If you qualify for a loan, you’ll receive your loan offer at this point. There isn’t a wait time to begin the program, either — as soon as you sign and return the loan agreement, you’ll be able to begin the Consolidation Plus program.
Wide range of loan amounts and repayment terms
Consolidation Plus can provide a way to get out of debt that doesn’t need to feel rushed. You can borrow anywhere between $5,000 and $65,000 with one of these loans. The amount you’ll be approved to borrow will depend on the amount that your debt settlement company needs to settle your debt with the creditors of your enrolled loans. You’ll also have 24 and 72 months to repay your Consolidation Plus loan at a fixed interest rate. This will allow you to have a reliable monthly payment that does not change, and you’ll know exactly how much to budget each month to pay off your debts.
Who is Consolidation Plus best for?
People who are enrolled in debt settlement programs
You may be eligible for a Consolidation Plus loan if you’re already enrolled in a debt settlement program. This loan could allow you to simplify your debt payoff plan. It could also help you pay less interest and other fees over time.
People who don’t have good credit
Consolidation Plus does not deny loans to people solely due to their credit scores. Credit scores aren’t very high on Consolidation Plus’s list of factors to consider to determine loan eligibility. Not only that, but if you have poor credit, you may be able to use a Consolidation Plus loan to prove your ability to make on-time payments and improve your credit over time.
People who want to accelerate their debt payoff strategy
You can take several avenues if you’re on a path toward a debt-free lifestyle. Unfortunately, it can take some time to achieve that goal. In some cases, accepting a loan from Consolidation Plus can help you get out of debt quickly. To see if that’s the case, you’d need to review the loan offer and compare the fees and timeline to your current payoff strategy.
Who shouldn’t use Consolidation Plus?
People who are happy with their debt relief or debt settlement program
Since Consolidation Plus loans are only available to people who are already enrolled in debt relief or debt settlement programs, it’s only available to people who are already working on their debt. If you’re enrolled in a program that you’re happy with and offered a Consolidation Plus loan, it may not be worth considering accepting the loan.
People who are still struggling with debt
Debt consolidation loans can be a great way to start to rebuild your credit and pay down your debt. However, that doesn’t mean that it is a fix-all solution. If you’re still struggling to get your debt under control, it may be best to consider fixing the root of the problem before taking on another debt in the form of a consolidation loan.
People with other options
It’s important to remember that there are several strategies that you can use to get out of debt. Consolidation loans may be a good option for some people, but that doesn’t mean it’s right for everyone. You should consider all of your options before choosing a debt payoff strategy. This is especially true if you have good credit and a positive credit history since you may be eligible for programs or loans with lower interest rates and fewer fees.
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- 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.
Pros and cons
Pros
- Consolidation Plus loans offer a wide range of loan amounts and repayment terms.
- All Consolidation Plus loans come with fixed rates that will remain in place for as long as you make on-time monthly payments.
- With Consolidation Plus, you’ll be able to work with a loan consultant to review your options and enjoy a quick application process.
Cons
- You cannot seek out a Consolidation Plus loan on your own; you have to wait and see if a loan consultant reaches out to you to invite you to apply for one.
- Debt consolidation loans often have higher interest rates than other loan types and debt payoff options.
- Consolidation Plus charges an origination fee for its loans, which you need to consider if you’re considering accepting a loan offer to save money.
Consolidation Plus vs. competitors
Buy Now Pay Later Company | Products/Services offered | Fees |
Consolidation Plus | Debt consolidation loans | 5.99% origination fee and a fixed interest rate |
Freedom Debt Relief | Debt settlement program | Average range is 15% - 25% |
LightStream | Debt consolidation loans and other loans | Fixed rates between 7.99% - 25.99% with AutoPay |
Freedom Debt Relief
Freedom Debt Relief offers a debt settlement that can help you settle and reduce the amount you need to pay on certain unsecured debts. This includes credit card debt, medical debt, and personal loan debt. With a debt settlement program like this, you’ll make one low monthly payment to Freedom Debt Relief to settle your debts. There are no upfront settlement fees, but fees are built into your monthly payment to cover the cost of the company’s services.
Once you’ve saved up enough in your Freedom Debt Relief account, the company can start negotiating with your creditors on your behalf. At this point, the company can make offers to your creditors to pay a reduced amount of what you owe in one upfront payment. Usually, this can happen as soon as four to six months after you begin the program, but the timeline will vary. Factors such as how many creditors you’ve enrolled in the program, your balances with each creditor, and your monthly payment into your Freedom Debt Relief account will impact the pace of your program.
LightStream
LightStream is an online consumer lender that offers fixed-rate loans for various purposes, including debt consolidation. With this company, you can apply for a loan and receive funds as soon as the same day if you qualify. Loan amounts can range between $5,000 - $100,000.
One of the greatest benefits of this lender is that there are no fees other than the fixed interest rate assigned to your loan. LightStream even offers a Rate Beat Program, which states that it will offer a rate that is .10% lower than a competitor’s unsecured loan rate if you are approved for said rate. Terms can change, and you do have to submit documentation quickly to request a lower rate, but it is worth a try if it applies to you.
FAQs
What is the difference between a debt consolidation loan and a debt settlement program?
A debt consolidation loan is a personal loan that you can use to roll all of your eligible debts into a single loan as opposed to paying multiple creditors. When you do this, your debt consolidation lender will pay off the creditors of your enrolled debts with your loan funds. Then you will enter into a new loan agreement with the debt consolidation lender to repay the loan in monthly payments. Using a debt consolidation loan may get a lower interest rate than you had on your other debts, a lower monthly payment, and a more favorable repayment term. However, you may have to pay application or origination fees to take out this new loan.
Debt settlement programs use a different strategy. With a debt settlement program, you’ll be depositing money into a savings account connected to the program. The debt settlement company will negotiate with your creditors on your behalf to ask them to accept less than the total amount you owe on your account. If one of these offers is accepted, the debt settlement company will pay off the creditor using the money you’ve paid into your savings account. When you use a debt settlement company, you’ll have to pay a fee to the debt settlement program for negotiating on your behalf.
What’s the best way to pay off my debt?
You can use several strategies to pay off your debt, and the best one for you will depend on your financial needs and goals. For example, if you can pay off your debts but want to make the process more manageable, a debt consolidation loan may be your best option. With this strategy, you can simplify things by only worrying about a single monthly payment, and you may save on interest fees in the process. Debt settlement and debt relief programs are more suitable for people who are behind on debt payments and could use a break. These programs can negotiate with your creditors on your behalf to reduce the total amount that you owe. You can also attempt to negotiate your debts on your behalf if you feel comfortable doing so. There are a few things to consider to determine which option is right for you. First, think about your current credit score. Some debt consolidation personal loans may have minimum credit score requirements to qualify and to get the best interest rates. You should also consider additional fees charged by each lender or company. Finally, you’ll need to consider how much you can afford in monthly loan payments and which loan terms help you stay within your budget.
What if I haven’t heard from Consolidation Plus?
If you’re enrolled in a debt settlement program but haven’t received an offer from Consolidation Plus, it’s possible that the program you’re enrolled in is not eligible. You can either stick with your debt settlement program or pursue other debt consolidation loan options if you want to explore that option.
The bottom line
Consolidation Plus can be a good option for many people, but it’s not available to everyone. Since the company is invite-only, you have to wait to receive an invitation to apply before you can see your loan terms or if you’ll be approved for a loan. Therefore, you shouldn’t wait for an offer if you want to use a debt consolidation loan.
It can be worth considering if you receive an offer from Consolidation Plus. Your loan consultant can explain your loan options to you and answer any questions about the process. The application process is quick, and you can expect a decision within days, so there’s no harm in seeing what you might qualify for. Before accepting any debt consolidation loan or another loan, you should review the terms and interest rates to be sure it is the best option for you.
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Ashley Hart is a lead copywriter and digital marketing expert covering finance, law, real estate, music, entertainment, health and wellness.
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