Current Debt Obligations
Enter your active credit cards or loans to calculate your combined baseline.
Debt Refinance Blueprint
Debt Consolidation Calculator
See how replacing multiple high-interest credit cards with a single fixed-rate consolidate debt loan, personal loan, or heloc calculator model can slash monthly payments and save thousands in finance charges.
Current Path
Multiple Cards
Combined Monthly Payment
$400/mo
Payoff Timeline
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Total Interest Paid
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Total Amount Paid
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Consolidated Loan
Single Fixed Loan
New Monthly Payment
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Payoff Timeline
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Total Interest Paid
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Total Amount Paid
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Total Finance Cost Comparison
Consolidation Loan Schedule
Month-by-month principal and interest breakdown
| Month | Date | Payment | Principal | Interest | Remaining Balance |
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Showing 12 of 36 months
Expert Guidance
Debt Consolidation & Refinance FAQ
Learn how consolidation works, how lenders calculate fees, and how to protect your credit score.
What is debt consolidation and how does it lower monthly payments?
Debt consolidation involves taking out a new single loan (such as an unsecured personal loan, home equity line of credit, or balance transfer card) with a substantially lower interest rate to pay off multiple high-interest debts. By lowering your weighted APR from typical credit card levels (20% to 29%) down to personal loan rates (7% to 12%), a larger portion of each payment goes directly toward principal reduction, which significantly lowers your required monthly payment and accelerates your debt-free target date.
Is a consolidation loan or balance transfer better than paying high-interest credit cards?
Yes, for most borrowers with good or fair credit, consolidation is significantly superior to paying minimums on high-APR cards. Credit cards compound interest monthly and keep balances lingering for decades. A fixed-rate consolidation loan enforces a predictable payoff schedule (e.g., 36 or 48 months) with a locked interest rate and a guaranteed debt-free date, saving thousands of dollars in cumulative finance charges.
Does consolidating debt hurt my credit score?
Initially, applying for a consolidation loan causes a minor, temporary dip of a few points due to a hard credit inquiry. However, over the medium and long term, consolidation typically causes your credit score to rise dramatically. Paying off revolving credit card balances slashes your credit utilization ratio (which accounts for 30% of your FICO score), and establishing consistent, on-time installment payments builds a positive payment history (35% of your score).