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Debt consolidation calculator

Put every debt on one side of the scale and a single consolidation loan on the other. See whether one payment actually costs you less, fees and all.

Your debts today

4 debts · $16,300

Consolidation loan offer

new
Consolidating saves about $4,005 and you're debt-free in 4 yr instead of 4 yr 10 mo.
Keep paying as now$25,896
Consolidate$21,891

Total you will pay, interest and fees included

Monthly payment
$456now $540
Debt-free
4 yrnow 4 yr 10 mo
Loan amount
$17,158fee $858
Loan APR
15.29%your debts avg 22.43%

Ask about these numbers

An AI analyst reads your inputs and results above and explains them. The calculator works without it.

When consolidation saves money, and when it doesn't

Consolidation doesn't reduce what you owe; it changes the price and the schedule. It works when three things line up: the loan's APR including fees is clearly below your weighted average rate (shown under Loan APR), the term isn't so long that interest piles back up, and you stop adding to the cards you just cleared.

The last one decides most outcomes. Consumer advocates, including the CFPB, warn that people who consolidate and keep spending end up with the loan and new card balances. Many people keep the cards open for their credit history but remove them from their wallet and phone.

Short on a good loan offer? A 0% balance transfer can be cheaper for balances you can clear within the promo period, and the snowball vs avalanche planner needs no new credit at all. For the bigger question, read Is debt consolidation a good idea?

Questions people ask

How does a debt consolidation loan work?
You take one personal loan, use it to pay off several debts (usually credit cards), then repay the single loan at a fixed rate over a fixed term. It saves money when the loan's APR, fees included, is lower than the rates you are paying now, and you do not run the cards back up.
Will consolidating lower my monthly payment?
Often, but a lower payment can come from a longer term rather than a lower rate. Compare "total you will pay" in the results, not only the payment, and check the debt-free date.
What is an origination fee on a consolidation loan?
Many personal loan lenders charge 1% to 10% of the loan, usually deducted from the money you receive. To still clear all your debts you have to borrow more. Tick "fee comes out of the loan" and the calculator grosses up the loan amount.
Does debt consolidation hurt your credit?
There is a small dip from the hard inquiry and new account. Paying cards down to zero usually lowers your credit utilisation, which tends to help your score over the following months, as long as you keep balances low.
Is it better to consolidate or use the avalanche method?
If the loan rate is well below your card rates, consolidating typically wins. If you can not get a good rate, the avalanche method with a fixed monthly budget costs nothing to start and can finish nearly as fast.

Related calculators

Balance transferPromo APR and transfer fee vs staying put.Debt payoff plannerSnowball vs avalanche, month by month.Compare loan offersUp to four offers side by side, fees included.Is debt consolidation a good idea?When it helps, when it backfires.