Today, debt is becoming one of the greatest problems for small businesses as there are still many small business owners either avoiding the situation entirely or falsely believing that things will turn themselves around.
The problem with some small businesses is that they purposely ignore bill collectors or pretend that something will suddenly come up to remove the consumer debt that has been accumulating for certain period of time. We do understand the temptations that lead people to tackle the credit card burdens that have amassed through what, but such act could only be deemed foolish.
Debt consolidation has become the popular idea to many with almost everyone complaining about credit card bills they can no longer pay and mortgages they never should have taken out in the first place.
What is debt consolidation? It is the process of combining all of your unsecured debts into a single monthly payment done through debt consolidation loan. The purpose of this type of loan is to pay off your debts, and then you pay off the new consolidation loan rather than dividing your payments to your creditors. You may be able to take out a debt consolidation on your own using the a home equity loan or a debt consolidation loan from a bank.
To learn more about debt consolidation for Australians, read this: https://www.moneysmart.gov.au/managing-your-money/managing-debts/consolidating-and-refinancing-debts