(12PressRelease.com) If you are finding tough to handle multiple debts then it is advised to opt for debt consolidation loans. Under these loans, the borrowers can merge their multiple debts in a single debt. Therefore, this helps the borrowers to take care of single loan which automatically repay multiple loans altogether. This process helps the borrowers to enjoy better life than before as he is free multiple threatening calls, credit deformities, worries of penalties and so on.

Consolidation of debts helps people to enjoy lower rate of interest and flexible repayment period than other financial obligations. Various accounts are bundled together which helps the borrowers to pays off various credit cards in a single go as there is one payment due each month for several debts. Just like other loans, debt consolidation loans can be categorized as secured and unsecured.

In the secured option, the borrowers can consolidate all their debts into a single manageable loan. This category is advanced against security. The lenders feel save and secure for his amount as borrower‘s valuable collateral is pledged against loan amount. This helps the borrowers to enjoy several benefits. The amount offered in this category is depended primarily on the equity value of collateral. However, the amount ranges from £25,000 to £75,000. If circumstances are favorable i.e. if borrowers hold good credit score than they can avail loan up to 125% of the collateral value. The repayment term for secured debt consolidation is flexible ranging from 10 to 25 years.

Unsecured debt consolidation loans do not require a home, property, or any other asset as collateral. This provides tenants a great opportunity to consolidate their multiple loans into a single loan. The homeowners who are not interested in pledging the collateral can enjoy the freedom to apply for unsecured debt consolidation loans. The loan amount in this category ranges from £5,000 to £25,000. The repayment term for unsecured debt consolidation ranges from 10 to 25 years. The rate of interest charged is slightly higher than secured loans.

Online mode is considered as the best option for applying debt consolidation loans. This option favors various quotes at affordable and genuine rates.

Lucy Mark is author of Unsecured Loans Bad Credit.For more information about Unemployed unsecured loans, Unsecured tenant loans bad credit visit http://www.unsecuredloansforbadcreditpeople.co.uk