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Use this free debt consolidation calculator to determine if a debt consolidation loan is right
for you. To begin, enter the details of your credit card debt, auto loans, and real estate loans
into the Current Situation area, then find out how a debt consolidation loan can affect
your monthly payments.
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Definitions
- Credit cards
- Enter your total credit card debt and its average interest
rate, or press the "Enter Data" button to enter up to 10 credit card accounts, one on
each line.
- Auto loans
- Click on the "Enter Data" button to input any auto loans you
may have into the details page. This details page is designed to let you input your
current monthly payment, the term (in months), the starting balance and the number of
months you have left. It then calculates your outstanding balance and interest rate.
You can enter up to three installment loans.
- Other loans
- Click on the "Enter Data" button to input any additional
installment loans you may have into the details page. This details page is designed
to let you input your current monthly payment, the term (in months), the starting
balance and the number of months you have left. It then calculates your outstanding
balance and interest rate. You can enter up to six installment loans.
- Balances
- Your total current balances for your credit cards, auto loans
and other loans.
- Interest rates
- The average annual percentage rate you pay. This interest
rate is calculated for each of the categories of debt you have including credit cards,
auto loans and other installment loans. For credit cards the rate you enter is used
to calculate the interest on all future credit card payments. The length of time to
pay off this credit card may be much greater than calculated if you enter a low
promotional interest rate that is only good for a short period of time.
- Payment
- This is your initial monthly payment. For credit cards, if
you checked the "use credit card minimum payments" box, your monthly payment is
calculated as 2% of your current outstanding balance. With the "use credit card
minimum payments" box checked, your monthly payment will decrease as your balance is
paid down. This can greatly increase the length of time it takes to pay off your credit
cards. Uncheck this box to enter your own monthly payment that will remain the same until
your balance is paid in full.
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- ( We calculate your minimum monthly payment as 2% of your current outstanding balance. While your actual minimum monthly payment may be slightly different, this is one of the most common methods used by credit card companies to calculate minimum payments.)
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