Taking out a debt consolidation loan initially impacts a credit score negatively by adding a new line of credit, but making on-time payments for at least six months can eventually improve payment history, credit utilization, and credit mix, resulting in a positive impact on the credit score.

Authors

• Person: Not available Organization: InCharge Debt Solutions
  Debt Consolidation vs Debt Management: Which is Best?

Sources

• Debt Consolidation vs Debt Management: Which is Best? www.incharge.org InCharge Debt Solutions via serper

Referenced by nodes (1)

• debt consolidation loan concept