| When
the typical debt-consolidation company advertises that
they can "save you money," what they are most often
referring to is simply a reduction in your total monthly
debt payments -- not a savings in the cost of paying
off your debt (interest charges). Sure, by consolidating
your payments into a single loan, you might be paying
one monthly payment that is smaller than the sum of
your current monthly payments, but if they stretch your
loan out for a longer period of time you could actually
end up paying more interest by consolidating. This calculator
will help you to determine whether or not consolidating
will actually reduce the cost of retiring your debts.
Instructions:
Starting with
the first line of entry fields, enter each one of
your debts, along with their corresponding principal
balances, interest rates and monthly payment amounts
(the last two columns will be filled in by the calculator).
Once you have entered all of the debts you wish to
consolidate, click on the "Compute Current Debt Cost"
button. Next, enter the consolidating loan's interest
rate, term and any origination fees that might apply
and click the "Compute Consolidation Loan Costs" button.
IMPORTANT:
In order for the this
calculator to work, each debt must have the four left-hand
fields filled in (for interest-free debts enter .001
just to satisfy the required interest-rate entry).
Also, be sure to enter only numbers and decimal points
in the numeric entry fields. Dollar signs, percent
signs, commas and spaces will cause an error.
|
:
312.321.0300 > 
: 312.321.0364
> 
: