Consolidating 401k loans
There are various personal incentives that make consolidating with a personal loan an attractive option to explore. Paying off your credit card balances with a personal loan could help you save on interest, increase your credit score and change your debt from revolving to installment debt, among other benefits.
Revolving debt is the form of debt that many credit cards use.
Loans are available to UK residents and over 18s only.
If you participate in a 401(k) plan, you may be able to borrow up to ,000, or half of the balance in the plan (whichever is less).
Debt consolidation is just one strategy you can use to help with your finances.
Essentially, it’s a way to pay off one or more lines of credit in exchange for a loan that’s better suited to complement your financial goals.
By paying off your debt with a personal loan and moving your balance to an installment loan, you could see an increase in your score and the payment plan could help you get out of debt for good (and save in lifetime interest).
Maybe you’ve made a few positive strides to get your finances on track or you recently got a raise at work.
If your objective is to lower your monthly payment, you could consider consolidating your existing personal loan to a 60-month term personal loan.