The topic of consolidating bills is an interesting one, to say the least. It seems like people have mixed opinions on it. While some see it as a benefit, others regard it as a hindrance. Whatever the case may be, it's important for people to know what they're getting into before they take the necessary steps. Here are some pros and cons of consolidating monthly bills that Robert Jain, as well as other financial minds, can provide.
PRO - All your payments are brought into one. This is the most notable pro that names such as Bob Jain can draw your attention to. Instead of having to make multiple payments each month, which takes time, you'll be able to make one large payment in a shorter amount of time. For those that dislike financial matters like this, it would make sense to roll all payments into one. Not only does this save time, as mentioned earlier, but it can reduce stress as well.
CON - When you create a payment plan, you must stick to it, no ifs, ands, or buts. What happens if, for some reason, you're unable to make a full monthly payment? One of the most common setbacks is a lower credit score. As a result, it can be tougher to be approved for additional credit cards, loans, or anything else that requires involvement from your bank. If you're certain that bill consolidation is for you, understand that it's a process that must be committed to.
PRO - You'll be less likely to make late payments. Seeing as how you'll make payments each month, it's unlikely that you will be late. What this means is that no matter how large a payment is, if you have the means to cover it, you can make it on time. Anyone that has ever consolidated their debt will tell you that this is a great advantage. It allows them to work off a schedule, which puts their minds at ease from a financial point of view.
CON - Interest has a tendency to add up. What many people overlook about bill consolidation is that interest rates can rack up. In short, the more that debts are allowed to persist, the more interest you'll end up owing. It may not seem like much, but understand that this adds up over time. For many people, this is why consolidation is out of the question. Everyone has a different viewpoint, though, so weigh the pros and cons accordingly.
PRO - All your payments are brought into one. This is the most notable pro that names such as Bob Jain can draw your attention to. Instead of having to make multiple payments each month, which takes time, you'll be able to make one large payment in a shorter amount of time. For those that dislike financial matters like this, it would make sense to roll all payments into one. Not only does this save time, as mentioned earlier, but it can reduce stress as well.
CON - When you create a payment plan, you must stick to it, no ifs, ands, or buts. What happens if, for some reason, you're unable to make a full monthly payment? One of the most common setbacks is a lower credit score. As a result, it can be tougher to be approved for additional credit cards, loans, or anything else that requires involvement from your bank. If you're certain that bill consolidation is for you, understand that it's a process that must be committed to.
PRO - You'll be less likely to make late payments. Seeing as how you'll make payments each month, it's unlikely that you will be late. What this means is that no matter how large a payment is, if you have the means to cover it, you can make it on time. Anyone that has ever consolidated their debt will tell you that this is a great advantage. It allows them to work off a schedule, which puts their minds at ease from a financial point of view.
CON - Interest has a tendency to add up. What many people overlook about bill consolidation is that interest rates can rack up. In short, the more that debts are allowed to persist, the more interest you'll end up owing. It may not seem like much, but understand that this adds up over time. For many people, this is why consolidation is out of the question. Everyone has a different viewpoint, though, so weigh the pros and cons accordingly.
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