One payment, one rate
Juggling several debts at different rates makes it hard to see the full picture. This tool blends your current debts into one comparable figure — combined balance, weighted average rate and total minimum payment — so you can judge a consolidation offer against what you're actually paying today, not just against a single card.
Making it actually work
If the numbers favor consolidating, the savings only materialize if the old accounts stay paid off rather than being run back up. For a full strategy across multiple debts without consolidating, compare against the Debt Payoff Calculator's snowball and avalanche methods, or use the Loan Comparison Calculator for two other loan offers.
Frequently asked questions
What is debt consolidation?
Combining multiple debts — credit cards, personal loans, and similar — into a single new loan, ideally at a lower interest rate. Instead of juggling several payments at different rates, you make one payment on the consolidated loan.
When does consolidation actually save money?
When the new loan's rate is meaningfully lower than the blended rate you're currently paying across your debts. If the new rate isn't much lower, or the term is much longer, you can end up paying more in total interest despite a lower monthly payment.
Does a lower monthly payment always mean it's a better deal?
No — stretching the same balance over a longer term lowers the payment but often increases total interest paid. Compare both the payment and the total interest here before deciding.
What are the risks of consolidating?
The biggest risk is running up the old credit cards again after consolidating, ending up with both the new loan and fresh debt. Consolidation only helps if it comes with a plan to stop the debts from reaccumulating.
Last updated: June 2026