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A debt consolidation calculator compares the cost of multiple existing debts versus a single consolidation loan, showing whether consolidation saves money in interest and reduces monthly outgoings.
공식
Consolidated payment = Σ (individual payments); Effective rate = new total interest / consolidated principal × 100
- P
- Total principal (currency)
- r
- Interest rate (%)
- n
- Number of debts
- PMT
- Monthly payment (currency)
단계별 가이드
- 1Current total: sum all monthly payments and remaining interest
- 2Consolidation: single loan payment at new APR over new term
- 3Compare total cost (principal + interest) for each option
- 4Lower monthly payment but longer term may cost more overall
풀어진 예시
입력
3 debts totalling £15k at avg 22% APR, consolidate at 9% over 5yr
결과
Consolidation monthly: £311; Total interest: £3,680 vs ~£8,000+ on originals
자주 묻는 질문
Is debt consolidation always beneficial?
Not always. Benefits if: lower interest rate, longer term reduces monthly payment, or simplified payments. Downsides: longer payoff, total interest sometimes higher.
What's the difference between consolidation and refinancing?
Consolidation: combine multiple debts into one loan. Refinancing: replace existing loan with new terms.
Can consolidation affect my credit score?
Initially may drop due to hard inquiry and new account. Improves over time with on-time payments.