480aff71_n_vs__Debt_Consolidation_Loans__Comparison_Criteria
[Debt Consolidation] Some of the disadvantages to enrolling in a debt consolidation program include: Enrollment can have a negative effect on your credit. Enrollment can limit your ability to acquire new credit while you are enrolled. [Debt Consolidation Loan] Some of the disadvantages to obtaining a debt consolidation loan include: A debt consolidation loan does not lead to debt elimination. All it does is shift the debt, which has to still be paid at a later date. Because all the loans are shifted to a single lender, all of your credit cards will now show huge available amounts. This can be very tempting for someone who is used to living off of credit cards, and can lead to another spending spree and even more debt. Almost all debt consolidation loans are secured, so whatever property you attach to your loan is at risk should you fail to pay. By consolidating the debt, the loan payments are stretched for a longer time period. This means that your payback period is stretched, so you will be in debt longer than you would have been otherwise. [Comparison Criteria] 
Disadvantages
D e f i n i t i o n
H o w I t W o r k s
A d v a n t a g e s
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Debt Consolidation vs. Debt Consolidation Loans
Comparison Criteria