Digital News Report – Debt consolidation loans are intended to help people combine multiple high-interest loans into one easy payment. The debt could be the result of credit cards, student loans and other personal loans.
Citigroup now offers debt consolidation loans from $300 to $15,000 or more. There are several factors that will determine your interest rate, including credit history, loan amount and collateral.
Citibank does not require home-ownership. If you do not own a home, the bank will loan up to $7,500. There is less paperwork required for renters, compared to homeowners, the bank says.
You can also secure a loan with your car. The bank says they offer “face-to-face” service at more than 18,000 branch locations.
The bank provides a quick online loan application process. Citibank says you can review your statements and update your personal information online.
There are some advantages to a personal loan. Unlike a payday loan, the term can range up to 60 months. There is a fixed interest rate for the entire loan and the application and approval process is speedy. In some cases, there will be an instant decision. Typically there is no pre-payment penalty.
It can be difficult to acquire a bad credit debt consolidation loan. Another option is a credit card transfer. Some banks, including Citibank, offer this service as well. The interest may be higher though.
By: Tina Brown