Remember, it’s important not to let yourself get so deeply in debt again.Pay your bills on time, even if all you can afford is the minimum.(Of course, while you’re using your IRA money, it won’t be earning you any interest either.) From friends and family: These loans can be your best or worst nightmare.

information on consolidating your bills-9information on consolidating your bills-21

And then there’s the risk of increasing your debt if you fail to make your payments under a debt settlement program.

Once you’ve chosen a debt consolidation method, it’s a good idea to keep the total cost as low as possible.

Don’t use your IRA to pay debts unless you are 100% confident the money will be replaced within two months, say, with a tax refund.

Otherwise, you’ll be hit with a penalty and taxes on the funds.

Lenders know the competition is tough, and it’s cheaper for them to keep you than it is to get a new customer to replace you — especially if you’re a low-maintenance borrower who pays her bills on time.

While you have them on the phone, ask about these three options: The interest rates on these loans tend to be low — or even interest free.And be sure to discuss the situation with a lender before your credit report is pulled.If the bank’s terms are not to your liking, there’s no reason to have its inquiry show on your credit report.(Always try to send in more than the minimum.) If you’re in a financial jam because of a situation that’s beyond your control — say an illness or job loss — get help now. Finally, be sure that your credit score is high enough for you to be approved for your best debt consolidation option.You can Comments on articles and responses to those comments are not provided or commissioned by a bank advertiser.Try not to take the maximum amount of time possible to pay off your new loan, and come up with a plan to One of the easiest ways to consolidate your credit card debts is to call your current card issuers and ask for a better deal.