Credit card debt consolidation is not the best option for those struggling with debts of $10,000 or more. While you may be cutting down on interest payments by not paying several different interest rates at once, you will also be consolidating the amount owed, which remains the same. Consolidation just combines debts, it doesn't reduce them.

Often, homeowners will get a debt consolidation loan. This is like a home equity loan where you borrow from your equity to pay off outstanding debts (rather than using equity for more traditional purposes, like home improvement or college tuition). The problem here is that you are replacing one debt--the credit card debt--with a new consolidation loan.

The terms of a consolidation loan might be more attractive than having to pay five different credit card bills at once, but it is still more expensive than anything you can achieve by working with DTS. In certain cases, it is possible to have DTS negotiate your consolidation for you--to lower both the amount owed and the interest rate.

However, this type of consolidation can be difficult to achieve because these debts come from a number of different banks. It is easier to start with us first and allow us to work out your debts on a case-by-case basis. Let us reduce your debt, this will offer you the greatest benefit and help you get back on your feet sooner. Once we've reduced the amount you owe, a consolidation program will be more feasible.