Sometimes the number of little bills you have floating around out there can be overwhelming.  It’s not necessarily the amount you owe but rather the number of creditors.  If you are not careful you can miss a monthly payment and not only is there a late fee tacked on, but it may knock your credit score down a point or two.

  Debt consolidation is a good way to reduce the number of bills you owe by lumping them together under one main loan.  Figure out exactly what the debt settlement figure is on each bill and what the total will be to settle all the bills.  Then find a lender who offers debt consolidation loans.  Once you pay off the smaller debts you will only have one main bill to keep track of each month.  Debt consolidation, then, enables you to handle your time and your debts more efficiently.