Consolidation loans are not a cheap option

Interest rates on loans are at their highest rates for nearly seven years with those who are looking to borrow struggling to find interest rates of less than 7.6% on a £5,000 loan over 3 years. For those with an below average credit rating the news will be even worse with interest rates being well over 10%. That’s why managing your debts through a debt consolidation loan may not be the best way forward and may actually make debts worse in the long term. Other solutions to consider include debt management and IVA’s for those in more serious debt. If your debts are serious but repairable then it’s probably not to late to look at ways of saving money and maximising income. If you're in need of some inspiration, read out top 10 money saving tips.