The maximum annual percentage rate at a federal credit union is 18%.Online lenders typically let you apply for a debt consolidation loan without affecting your credit score.
Some also send money directly to your creditors, increasing the odds of successful debt consolidation.
That means you’ll need to pay more than the minimum payment due to reduce the principal and make a dent in your overall debt.
Since both types of loans are secured by your house, you could lose it if you don’t keep up with payments.
Nerd Wallet recommends visiting your local credit union first.
Most credit unions offer their members flexible loan terms and lower interest rates than online lenders, especially if you have a low credit score.