2006-12-18 16:04:41 · 4 answers · asked by westaygrindin 1 in Business & Finance ➔ Credit
quite the opposite. the less "unsecured" debt you owe, the better. a consolidation is usually a mortgage and anytime you have several mortgage tradelines in your credit that are paid on time, this has a very positive impact on your score. another factor that determines your credit score is the percentage of credit card useage. if you have $20,000 in credit limits and $15,000 in balances, you're at 75% useage - high, and your score will be lower. but, if you pay credit cards off, your percentage useage goes down and that also benefits your credit. just avoid the mistake of USING the credit cards again! you don't want the NEW debt consolidation loan payment AND the credit card payments again! go for the consolidation!
2006-12-18 16:10:22 · answer #1 · answered by abcdgoodall 4 · 0⤊ 1⤋
If you are careful, it can actually help your credit score. But you must go about it the right way. Here is a useful website which explains the pros and cons. It will pay you to do your own research.
Good luck!
2006-12-19 18:17:09 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Of course. If you have a problem, talk to the individual creditors and see what you can do to sort it out yourself.
2006-12-19 00:09:11 · answer #3 · answered by Stewart H 4 · 0⤊ 2⤋
No. You will pay off a bunch of creditors, and that will help.
2006-12-19 00:09:23 · answer #4 · answered by Anonymous · 0⤊ 2⤋