Rita Asks “Should We Consolidate Our Debt?”


“Dear Steve,

I want to pay my credit cards off. I will like to consolidate them. We are $39,000.00 in debt. HELP

What should I do?


Dear Rita,

Thank you for writing to me for help.

Debt consolidation is often the first and only solution that comes to mind when people what to get out of debt. However, you can’t borrow your way out of debt and most debt consolidation loan offers are bogus.

I realize that you’ve had this sudden motivation to pay off your credit cards but there are two approaches. One is that you can use the debt snowball approach and pay off the cards and improve your credit score and credit report at the same time.

The other way would be to consider joining a debt management or credit counseling program, make one monthly payment to them and they will in turn chop up your payment and send portions of it off to your creditors. While you make one payment in a debt management program, it is not a loan.

I would suggest that if you want to evaluate how a debt management or credit counseling program might benefit you that you do your homework by clicking here and checking it out.

Most people don’t build up big balances overnight, it happens over time. Getting out of debt can be a slow process that always feels like it takes longer than it should but that is because big sacrifices are needed.

When you were running up debt it was because your expenses exceeded your income and you used credit to make up the difference. To get out of debt you have to reduce your lifestyle to the point where you free up extra money to use to reduce your debt. That process is both painful and hard for people to sustain over the long amount of time it typically takes to pay off the debt in full.


You are not alone. I'm here to help. There is no need to suffer in silence. We can get through this. Tomorrow can be better than today. Don't give up.

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Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.
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