Debt consolidation calculator: Would one loan beat my cards?
Compare what your cards will cost at your current payment with a consolidation loan, including the origination fee.
How Snip does the math
Cards: your balance is paid at your current monthly payment until it reaches $0.
Loan: sized so the cash left after the origination fee still pays off every card.
Savings are card interest minus loan interest and the fee. Enter the loan's interest rate, not its APR, so the fee isn't counted twice.
Questions, answered
When does a consolidation loan save money?
When the loan's interest and fees cost less than your cards would at your current payment. A lower rate helps. A long term or a high fee can cancel the savings.
Why is the loan bigger than my card balance?
Many lenders take the origination fee out of the loan amount. To get enough cash to pay off every card, you borrow a little more. The calculator includes this.
Will checking rates hurt my credit?
Checking rates usually uses a soft inquiry, which doesn't affect your score. A full application usually means a hard inquiry, which can lower your score a little for a short time.
What if I keep using my cards?
Then the debt can come back on top of the loan. The CFPB says a consolidation loan probably won't help unless you also spend less or earn more.
