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Act91

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why i cannot get a loan are a credit card what do i need to do
Can i get a loan to pay off my debt

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Taking on Debt to get out of Debt

Hi. The short answer: Yes, you can.

The long answer: You should not take out a loan to pay off previous debts UNLESS your new interest rate on new loan is lower than the interest rate on your previous debt. If this is not the case, do not take out a loan. You're better off paying the old debt instead of taking on higher interest new debt.

I hope this made sense. In short, take out new debt if it has a lower interest rate than your old date. If it has a higher interest rate than your old debt, just stick with the old debt and pay it off as quickly as possible.

Merry Christmas!

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