Debt Consolidation Options: Simple Ways to Combine and Lower Your Debts

When you’re juggling multiple credit cards, payday loans, or medical bills, debt consolidation, the process of combining multiple debts into a single loan with one monthly payment. Also known as debt merging, it’s not magic—it’s a practical tool to simplify what feels like a financial mess. But not everyone qualifies, and not every option is right for your situation. You might think a lower interest rate is the only thing that matters, but lenders care just as much about your credit score, a three-digit number that shows how reliably you’ve paid back money in the past, your debt-to-income ratio, how much you owe compared to how much you earn each month, and whether you own property you can use as security.

Most people who try debt consolidation get turned down because they don’t understand what lenders are really looking for. It’s not just about having bad credit—it’s about whether your income can handle the new payment, whether your total debt is too high for your earnings, or whether you’ve missed payments too often. Some options, like a home equity loan, a loan secured by the value of your home, can offer lower rates, but they put your house at risk. Others, like a personal loan from an online lender, might be easier to get but come with higher interest. And if your credit score is under 600, you’ll need a different strategy entirely—maybe a debt management plan or talking to a nonprofit counsellor.

There’s no single best way to consolidate debt. What works for someone with £5,000 in credit card debt and a steady job won’t work for someone with £20,000 in debt, irregular income, or a history of missed payments. The key is matching your situation to the right option. Below, you’ll find real posts that break down exactly what gets you approved, what kills your chances, and what alternatives exist if you’re denied. You’ll see how people with similar debts to yours managed to turn things around—without taking on more risk or falling for scams.