The National published an article on the increased awareness of debt consolidation loans amongst borrowers and what these loans are worth. Souqalmal.com weighs in on the pros and cons and long-term implications of debt consolidation loans.
How does debt consolidation work?
Debt consolidation products from banks offers overwhelmed borrowers some breathing space by rolling multiple debts into a single consolidated loan, usually at a lower rate, requiring one repayment every month.
Monthly repayments can become more manageable, due to the extended loan tenure offered under such an arrangement. You will also have the convenience of dealing with just one lender, and can keep better track of how much you owe and how much you need to repay.
For full article go to The National