18th Nov 2009 by JonB
There are many types of consolidation loans and many scenarios in which a loan consolidation could be beneficial. However, the most common kind of loan consolidation is a home equity loan. Many people have many different liabilities. Credit cards, auto loans, store installment loans, student loans, etc. Sometime it is in the best interest of that person to use equity in there home to pay off all those other debts. Instead of having 6 or 7 separate liabilities with high interest rates, is possible that you could consolidate all those debts into one home equity loan with a lower interest rate.
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