Debt Consolidation is simply the rolling of a number of smaller individual loans such

as credit cards, personal loans and car loans into the one debt. The consolidation

of debt actually allows you reduce your monthly debt repayments quite substancially.

This is a direct result of getting your credit cards (16%), AGC Cards (24%), Car

Loans (11%) and Personal Loans (11%) all onto a lower interest rate of approximately

7%. So rather than paying 16% on a credit card which is maxed out at $5,000 for

example, you can consolidate it onto your home loan and the result is a saving of

around $37 per month in interest repayments. That may not sound like a great deal in

savings, but keep in mind interest is charged daily, so that is a saving that

compounds each and every day of each and every month.
This debt consolidation technique allows you to knock more money off of the principal

each month, as you are now paying at least HALF the amount of interest on the debt.
Debt Consolidation results in all of your debt being under the one loan with just the

one, low simple repayment to make each month.
The average Australian’s finances are setup by the banks. The banks prefer their

clients to have a very inefficient loan structure, as the longer they are in debt the

more profit (interest) they will be able to make out of the client. The majority of

Australians have at least 2 outstanding debts to repay each month, traditionally a

home loan and some sort of personal debt. By consolidating these debts you will end

up with a very streamlined and effeicient loan structure with one small simple loan

repayment.
It will give you a tremendous amount of ‘peace of mind’ as you’ll feel a massive

weight has finally been lifted off your shoulders. Just knowing that you only have

one low debt repayment per month instead of 2, 3, 4 or even 5 can relieve enormous

amounts of financial stress.
Debt consolidation is evolving as a clean and simple way of restructuring your

finances onto a more effective and efficient financial set-up. Many Australians are

so highly geared at the moment, that they are only living a week or two ahead of the

debt collector. As interest rates continue to rise over the next year, the average

Australian will be feeling the pinch. To alleviate some of the financial pressure I

can only suggest you sit down with one of the home loan consultants at Crown and let

them show you the benefits of Debt Consolidation.