What is a Debt Consolidation Loan?

A debt consolidation loan is a personal loan that can provide a simple and more affordable way to combine multiple debts, like credit card balances and medical bills, into one convenient monthly lump sum payment.

This kind of loan typically comes with lower interest rates and lower monthly payments. So, if you’re struggling to pay all your day-to-day expenses as well as what you owe to creditors, a debt consolidation loan can be a great way to free up some extra cash and live a more comfortable, hassle-free life.

It can also save you money on interest and even help you pay off your debt faster.


How Does a Debt Consolidation Loan Work?

A debt consolidation loan works by giving you a new loan that you can use to pay off your outstanding debts instantly.

Then, rather than making multiple monthly payments to many different credit card companies, banks, and bill collectors, you simply make a single debt consolidation loan payment.

While debt consolidation loans don’t erase your debt, they do help you pay it off in a smarter, more affordable way. That’s because they usually come with lower, fixed interest rates that won’t increase, and of course, there’s no annual credit card fees.

Benefits of a Debt Consolidation Loan

One easy monthly payment.One easy monthly payment.You don’t have to stress about keeping track of multiple minimum credit card or bill payments.
Interest rates — that won’t change.Interest rates — that won’t change.Free up more money for the day-to-day expenses and activities that matter most.
No origination fee. No annual fee.No origination fee.Get access to funds as early as the next business day1, so you can pay off outstanding balances immediately.

How Much Can I Save with a Debt Consolidation Loan2 from Topcredit?

Say you owe $7,500 on a loan for a medical bill that has an interest rate of 13.89% and another $10,000 on a credit card with an APR of 18.49%.

Here’s how much you could save by taking out a simple debt consolidation loan for your total debt of $17,500.

Topcreditloan Debt Consolidation Loan
Loan Amount: $17,500
Interest Rate: 11.49%3
Time to Pay Off: 2 years
Total Monthly Payment: $819
Combined Bill and Credit Card Debt
Owed Amount: $17,500
Interest Rate: 13.89% - 18.49%
Time to Pay Off: 2 years
Total Monthly Payment: $861

A monthly difference of $41.00 can represent an estimate of $1,000 on savings over a 2 year period.*


* Interest rate and savings estimates based on an applicant with very good credit

3 Base interest rate starting from  5% APR to 21.49% APR. The APR is determined based on your credit score and history. Available terms from 12 to 360 months, depending on the loan amount.

Example: An unsecured personal loan of $17,500 with an 11.49% APR for 24 months would pay $819.62 monthly. Other terms and conditions available.

Which Debt Consolidation Loan is the Best?

As a Pioneer in Online Lending since 1998, Topcreditloan continues to offer one of the best debt consolidation loan in the business thanks to its low-interest rates, next business day funding1, and zero origination approach.

We pride ourselves on making it fast and easy to fill out on our online loan application, so you can get the money you need as quickly as possible.

No hidden fees. No hoops to jump through. And a simply smart online application.

We’re here to help you pay off the high-interest rate credit cards and outstanding bill balances that adding stress and anxiety to your daily life.

 TopcreditloanMarcusLending ClubDiscover
Flexible Loan Payment Schedule4        
1-Hour Credit Decision5
Next Business Day Funding1
No Origination Fees        
Pioneer in Online Lending (Since 1998)        

*Information as of january 2020. 



Ready to Start a New Adventure with us?

Apply Now!

Checking your rates will not affect your credit score.

Our Clients Are Happy!

Our Clients Are Happy!


Taking out a more manageable debt consolidation loan that you’re more likely to pay back every month may boost your credit score over time. That’s because credit score is tied to a number of factors, the two most important being the probability you’ll pay your bills and how much of total available credit you’re using, among others. Making regular and on-time debt consolidation loan repayments checks both of these boxes.

It is important to note that you may see a small, temporary dip in your credit score initially when taking out this kind of loan due to the necessary credit check during application and because closing credit card accounts can reduce the total amount of credit you have available. The latter can have a negative effect because less available credit and high balances means that the amount of credit you’ve utilized will be higher, which lenders see as a drawback.
Thanks to lower interest rates and lower monthly payments, debt consolidation loans can be a good way to free up more money each month for daily expenses if you’re struggling with cash flow. They also combine all of your credit card payments and outstanding bill balances into one easy lump sum payment, so you don’t have to juggle a million different payment deadlines. Ultimately though, your personal financial situation will impact whether debt consolidation is right for you.
It’s easy to apply and get pre-qualified for a debt consolidation loan of up to $35,000 today! To apply, you’ll need the following information:
  • Full Name
  • Address information
  • Social security number
  • Your income information
  • Your employment status
Debt consolidation is the process of combining multiple debts into one more affordable monthly payment. So instead of paying each individual credit card company or bill collector, you just pay back the single, simple debt consolidation loan. Debt settlement is for people who haven’t been able to pay their debts for a considerable time, and it involves trying to negotiate with creditors to either waive the debt or accept a smaller payment amount.

Start saving on your interest payments today!

See if you’re eligible to combine multiple monthly payments with high-interest rates into one manageable debt consolidation loan.

Check Your Rates

Checking your rates will not affect your credit score.

Need Help?


We use cookies to better understand how our websites and services are used and provide tailored advertising. How does this work? We collect information about your online activities, such as the searches you conduct on our website and pages you visit. This information may be used to deliver advertising, on and off our website, that meet your specific interests. By continuing to use this website, you are giving your consent to collect your information.

I accept