Best Debt Consolidation Company: Straightforward Solutions to Debt in 2021

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An estimated 80% Americans are in debt at some point. This means that many Americans are trapped in a never-ending debt spiral. It’s easy not to keep track of how much money is owed by credit cards, medical bills, or mortgage payments.

However, there are some people who need to consolidate their debts, how to choose the best debt consolidation company.

The best way to consolidate multiple loans into only one payment is with debt consolidation companies. They offer low interest rates and flexible loan amounts.

Take a look at our top-rated debt consolidation loans. Also, we answer your questions.

Top Debt Consolidation Companies of 2021

  1. Quicken Loans can help you refinance your home mortgage
  2. Rocket Loans has great customer service
  3. Useful for comparing different APR rates – Lending Tree
  4. Payoff Loans – Good for Fair Credit Scores
  5. LightStream is a low-interest rate lender.
  6. Marcus by Goldman Sachs is a reliable name
  7. Liberty Lending Service website is easy to use

1. Quicken loans – best for consolidating debts into mortgages

  • High-interest debt becomes low-interest mortgage interest
  • Fixed-rate mortgages of 15-year to 30-year tenure
  • 3-4% interest rate

Quicken Loans provides unique debt consolidation services. It does not offer a variety of loan amounts at different interest – it consolidates your credit card debt into your monthly mortgage payments. It’s one among the best mortgage refinance lenders.

Most credit cards carry a 15% APR. Mortgages are about 3-4%.

In the long-term, consolidating high-interest credit-card debt with a new low interest mortgage can help you save substantial money. Interest on mortgage payments are usually exempt from tax. However, this is not true for regular credit cards debt.

There are many plans that are available depending on your property, and the terms you require. Popular options include their 15 and 30-year fixed-rate loans. Before you place your house on sale, ensure that you can afford the monthly repayments.

2. Rocket Loans: Best for Cash-Crushing Situations

  • The loan amount is $2,000 up to $45,000
  • APR: From 7.16% to 29.99%
  • Min. Min.
  • BBB Rating: A+

Rocket Loans provides a variety loan amounts for consolidation. They can range from $2,000 – $45,000 depending on your credit rating. The minimum credit score that you must have to apply for a loan from Rocket Loans is 620. Many Americans fit this criteria.

Citizens of all 50 US state can apply.

Rocket Loans is able to provide same day financing for loans from up to $25,000 and offers an easy online application that is far simpler than other debt settlement companies. The APR for Rocket Loans is higher so it’s worth considering when you apply.

3. LendingTree- The Best Way to Check Multiple Lenders

  • Compare different lenders
  • Sort by lowest APR
  • You can sort by the lowest loan payment

LendingTree is your best choice for loans for debt consolidation. This website allows you to evaluate different lenders and find the right lender for your situation.

LendingTree handles all the details for you, so you don’t need to contact each lender separately to request a quote.

LendingTree makes it simple to compare lenders using loan terms. You can also search by APR, FICO requirements, and much more. LendingTree allows you to sort the loans by APR or payment. This will allow you to choose the right plan for your finances.

4. Payoff Loans Best For Fair Credit

  • Limits on loan amount: $5,000 – $40,000
  • APR: 6.99% to 24.99%
  • Minimum credit score:
  • BBB Rating: A+

Payoff loans are an option for those with good credit who can afford the monthly installments as stated in the loan terms. Payoff Loans is an accredited loan by the Better Business Bureau, with an A+ rating. It is known for its outstanding customer service as well as great offers.

The great thing about this company, is that they will present you with other options before luring you into a debt consolidation loans. It doesn’t feel like they’re trying to trap.

Before even offering you a loan, they also talk about personal loans, home equity, and balance transfer as possible alternatives to consolidation. I find it refreshing that online lenders for personal loan don’t make people feel trapped.

5. LightStream – The Best Low-Interest Rates

  • Loan amount -$5,000 – $100,000
  • APR 4.49% – 20.49%
  • Min credit score of 660
  • BBB rating – A+ (parent organization)

LightStream allows you to borrow up to $100,000.

LightStream is a great option for those with excellent credit because it offers low APRs and flexible monthly payment terms. You can also get term lengths ranging from 2-7 years. This will give you great repayment flexibility.

Truist, LightStream’s parent, holds an A+ BBB ratings. This is a good indication that the company isn’t fraudulent, even though it’s not rated for LightStream. Although the credit threshold of 660 seems higher than other companies, it is reasonable when you offer more than $100k.

6. Marcus By Goldman Sachs- Best For Good Scores

  • Amount of loan: $3,500 – $40,000
  • APR: 6.99%- 19.99%
  • Min. Min.
  • BBB Rating: A+

Marcus by Goldman Sachs can provide you with debt consolidation loans funds that are trusted by name. The loan offers of this lender are easy to understand, with a affordable APR as well as loan amounts upto $40,000

There are absolutely no origination fees or late fees . The loan repayment terms range from 3 years up to 6 years. Marcus By Goldman Sachs won’t be your best choice if you need quick cash. However, it can take upto 4 business days for loan funds in your account.

7. Liberty Lending Service – Quick Approval

  • Maximum Loan Amount – $2,000 up to $100,000
  • APR – 7.99% to 29,.99%
  • Minimum credit score – Not specified

Liberty Lending Service offers personal loan options up to $100,000. This may be an option for those with high credit card debts or medical bills. Their minimum credit score isn’t set, so it works case-by–case.

The rate of fixed and variable rates loans offered may vary from 7.99% to 29,99.

The repayment term lengths are 2-5 year. It is flexible but not as flexible than some other lenders.

LLS is able to approve loans in 24 hours (usually), which makes it simple to work out loan terms. This will allow you to quickly get the cash you need to pay off your debts.

Best Debt Reconsolidation Loans FAQ

A Debt Consolidation Lender?

A debt consolidation loan is an individual loan that aggregates multiple, unpaid debts into a single, manageable payment. The debt consolidation agency “pays off your debts” and transfers them to “new debt”, so that you only have one payment.

Debt consolidation is limited to unsecured debt. This refers only to debts that aren’t tied or backed by another person financially.

For these things, you can use debt consolidation:

  • Credit card debt
  • Medical bills & other expenses
  • Personal
  • Payday loans

You can’t consolidate debt for your mortgage or vehicle payment, because these are considered secured loans.

Consolidating all your debts is an excellent way for some people manage their monthly payments, and to start improving their financial situation. The downside is that a consolidation loan could lead to you paying more interest over time. Make sure to read all the fine print.

It’s estimated that 80% of Americans are in debt to some degree, with many US citizens caught in a never-ending spiral of debt. Credit cards, medical bills, mortgage payments… it’s easy to lose track of all that money you owe.

But for some people, debt consolidation loans are the answer.

With low interest rates, flexible loan amounts, and decent repayment terms, debt consolidation companies are a great way to move multiple separate debts into one easy-to-track personal loan payment.

Here we take a look at the best debt consolidation loans and answer your FAQs to see whether consolidating debt is right for you.

The Best Debt Consolidation Companies in 2021

  1. Refinance your mortgage – Quicken Loans
  2. Great customer service – Rocket Loans
  3. Useful for comparing different APR rates – Lending Tree
  4. Good for fair credit scores – Payoff Loans
  5. Often has low-interest rates – LightStream
  6. A trusted name – Marcus by Goldman Sachs
  7. Easy-to-use website – Liberty Lending Service

1. Quicken Loans – Best For Consolidating Debt Into Mortgages

  • High-interest debt becomes low-interest mortgage interest
  • 15-year & 30-year fixed-rate mortgages
  • 3-4% interest rates

Quicken Loans is a unique debt consolidation service. Instead of offering various loan amounts at different interest rates, it allows you to consolidate credit card debt into your mortgage payments. It’s one of the best refinance mortgage lenders around.

Most credit cards charge around 15% APR, while mortgage interest is roughly 3-4%.

By consolidating high-interest credit card debt into a new low-interest mortgage, you could save a significant amount of money in the long term. The interest on mortgage payments is also usually tax deductible – this is not the case for that regular credit card debt.

There are many plans available depending on your property and the loan terms you require, though their 15-year fixed-rate loan and 30-year fixed-rate loan are popular options. Just make sure that you can fulfill the repayment terms before putting your house on the table.

2. Rocket Loans – Best For When You Need Cash Fast

  • Loan amount: $2,000 to $45,000
  • APR: 7.16% to 29.99%
  • Min. credit score: 620
  • BBB Rating: A+

Rocket Loans offers various loan amounts for consolidation, anywhere from $2,000 to $45,000, according to your credit profile. The min credit score you need to apply is 620, which a lot of Americans luckily fit into.

Citizens in all 50 US states can apply.

Rocket Loans can provide same-day funding for loans of up to $25,000, and there is an online application process that is much simpler than many debt settlement companies. However, their APR is on the higher side, so keep that in mind when applying.

3. LendingTree – Best For Checking Multiple Lenders

  • Compare different lenders
  • Sort by lowest APR
  • Sort by lowest loan payment

If you’re looking for the best loans for debt consolidation, look no further than LendingTree. This website allows you to compare different lenders to find the best lender for your needs. 

In other words, you don’t need to go to each lender and request a quote separately – LendingTree does it all for you.

With a few clicks here and there, LendingTree lets you compare lenders according to their loan terms, APR, FICO requirements, and more. You can even sort the loans by “lowest APR” or “lowest loan payment,” finding a debt consolidation plan that works best for your budget.

4. Payoff Loans – Best For Fair Credit

  • Loan amount: $5,000 to $40,000
  • APR: 5.99% to 24.99%
  • Minimum credit score: 640
  • BBB Rating: A+

Payoff Loans are a good choice if you’ve got fair credit and you think you can afford the monthly payments outlined in the loan terms. Accredited by the Better Business Bureau with an A+ rating, Payoff Loans are known for their stellar customer service and great offers.

The good thing about this company is that they present you with alternative options before reeling you in with a debt consolidation loan – it doesn’t feel like they’re trying to trap you. 

They talk about balance transfer, home equity, and personal loans as alternatives to consolidation as well before even making you an offer. I personally like when online lenders for personal loans don’t make you feel trapped.

5. LightStream – Best For Low-Interest Rates

  • Loan amount -$5,000 – $100,000
  • APR – 4.49% – 20.49%
  • Min credit score – 660
  • BBB rating – A+ (parent company)

LightStream offers very high loan amounts all the way up to $100,000, so it could be the best option if you’ve got a serious amount of credit card debt that needs consolidating. 

LightStream also offers competitive APR and monthly payment terms, so it’s great for those with excellent credit. You can also get term lengths of 2 to 7 years, giving you lots of repayment flexibility.

The parent company of LightStream, Truist, has an A+ BBB rating. This is a good sign that the company isn’t shady, even if it’s not rated on the LightStream division itself. The credit requirement of 660 is a little higher than most, but that makes sense when you’re offering up to $100k.

6. Marcus By Goldman Sachs – Best For Good Credit Scores

  • Loan amount: $3,500 – $40,000
  • APR: 6.99% – 19.99%
  • Min. credit score: 660
  • BBB Rating: A+

If you want debt consolidation loan funds supplied by a trusted name, it doesn’t get much more recognizable than Marcus by Goldman Sachs. Offering competitive APR and loan amounts up to $40,000, it’s easy to see why many people choose this lender’s loan offers above the rest.

There are no origination fees or late fees, and you can get loan repayment term lengths anywhere from 3 years to 6 years.  However, loan funds can take up to 4 business days to appear in your account after a deal is made, so Marcus By Goldman Sachs isn’t ideal if you need cash fast.

7. Liberty Lending Service – Best For Quick Approval

  • Loan amount – $2,000 to $100,000
  • APR – 7.99% to 29.99%
  • Minimum credit score – not specified

Liberty Lending Service offers personal loans for anywhere up to $100,000, so it may be good for those who have a lot of credit card debt or medical bills to pay off. Their min credit requirement isn’t specified, so it works on a case-by-case basis.

You may be offered fixed or variable rate loans from 7.99% to 29.99%.

Repayment term lengths go from 2 to 5 years, so there is some flexibility but not as much as some other lenders.

However, LLS guarantees fast approval in 24 hours or less (usually), so it can be easy to agree on those loan terms and get the cash rolling in quickly to stop your mountain of debts from growing further.

Best Debt Consolidation Loans FAQ

What Is a Debt Consolidation Loan?

A debt consolidation loan is a type of personal loan that aggregates multiple unsecured debts into one, easy-to-manage payment. The debt consolidation company essentially “pays off” your debts and transfers them to a “new debt” with them, so you only have one payment to keep track of.

Debt consolidation only covers unsecured debt, meaning debts that aren’t tied to a physical object (i.e., house or car) and that aren’t backed by another person financially.

You can use debt consolidation for things such as:

  • Credit card debt
  • Medical bills & expenses
  • Personal loans
  • Payday loans

However, you cannot use debt consolidation for things such as your mortgage or vehicle payments, as these are considered to be “secured loans.”

Consolidating your debts is a great way for some people to manage their monthly payments and begin to improve their financial situation. However, a debt consolidation loan may cause you to pay more interest over the long term, so it’s crucial to check the fine print carefully.

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