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\n\nSeptember 9, 2026 / 12:04 PM EDT / CBS News
\n\nCarrying several high-rate debts can become increasingly difficult to manage as the balances, due dates and monthly payments pile up. And that's particularly true right now, considering how high borrowing rates — and credit card rates, in particular — are. At an average rate of over 22%, the credit card interest charges can compound quickly, no matter how small (or large) your balance is. But consolidating those debts into one payment can offer a more manageable path forward, particularly if the new financing also reduces what you're paying in interest each month.
\n\nGetting approved for a debt consolidation loan can present its own challenges, though. If your debt-to-income ratio is too high, or if any missed or late payments have damaged your credit, you may not qualify for the same debt consolidation products or terms that would be available if your finances were in better shape. And given that many borrowers turn to consolidation precisely because their debts have become difficult to manage, that can create a frustrating obstacle.
\n\nThat…
Original source: https://www.cbsnews.com/moneywatch/
