Why do LendingPoint customers consolidate their credit cards and other debt?

The largest single reason our customers cite for why they take out a loan with LendingPoint is debt consolidation. In 2017, 70% of our customers who shared their loan purpose with us said it was to pay down or eliminate existing debts, primarily credit cards.

Nobody knows our customers better than our sales representatives. We caught up with a few of them recently and asked them to share some of the stories they’re hearing from customers looking to consolidate debt.

Lee Dyer, loan specialist: Lee said that those who have had a hard time consolidating bills say things like, “I am able to make my payments just fine, but I cannot seem to make any progress, and the balances seem to stay the same”, or, “I have been paying on this card for years and not making any real progress, so it’s time to get it wrapped up.” Because of their trouble managing several monthly payments (that can get a little overwhelming), Lee had customers who took out a LendingPoint loan with him and experienced quick success! They shared that, “it’s much easier for me to budget one monthly payment, instead of several different accounts throughout the month,” and “I am now able to lower my Credit Card Utilization and Improve my credit profile, so I can buy a house and a car!”

Ashley Brower, loan specialist: Ashley said, “they feel like we are putting money back into their pockets every month and taking 15+ year payoffs on their credit cards and putting them into a 3 or 4-year term. Debt can be a huge anchor for many people, so a sense of relief is what they’re feeling. Most people are stressed and are having a hard time just finding a break to catch up. They pay their bills just like everyone else, but they’ve just have had something that has happened that has set them back.”

Trina Bryant, loan specialist: Trina said, “A lot of our customers tell us what the use of funds are for, and the most popular is credit card consolidation. They feel like a burden has been lifted from them by getting a loan from us.”

Do you know how much debt is burdening U.S households? According to Nerdwallet.com, “the average household that’s carrying credit card debt has a balance of $15,654. Households with any kind of debt owe $131,431 (including mortgages), on average.” With information like this out there, we want to make sure we’re doing everything we can to help NearPrime consumers get the loan they need to help manage and consolidate wherever they can – especially if it makes their lives a little easier and a little less stressful.

If this is you and you’re looking to consolidate bills, credit cards and manage debt and need a little help, a LendingPoint loan may be a great option. Even if your credit score is lower than you would like it to be, you do have personal loan options. LendingPoint is dedicated to serving the NearPrime consumer with credit scores in the 600s.

A personal loan might even help improve your credit score because when you use your loan to pay off credit cards (and DON’T continue using the credit cards), that reduced or zero balance should positively affect your credit report. By taking out one of our personal loans. you can make affordable monthly payments and build your credit story by making on-time payments each month. As you continue to make your payments on-time, you build your credibility and your credit history. We offer decisions in minutes and funding as soon as the next business day to help make your credit repair dreams a reality. There is no time like the present to start your debt consolidation journey.

We would love to help finance your debt consolidation mission. Apply today and talk with one of our amazing representatives about making your dreams a reality.