Debt Consolidation Calculator
Put your current balances next to a consolidation loan offer, fees included, and see whether rolling them into one payment saves money or just stretches the debt out.
| Now | Consolidated | |
|---|---|---|
| Balance | $13,200 | $13,750 |
| Rate | 24.3% avg | 12.5% (14.7% APR) |
| Monthly | $450 | $365 |
| Debt-free in | 3 yrs 9 mo | 4 yrs |
| Interest + fees | $7,027 | $4,343 |
"Now" pays your current payments in total each month, highest rate first, until everything is cleared.
Should I consolidate? Get a plain-English read
Sends only the numbers shown above (and your question) to an AI model via Vercel AI Gateway. Nothing is stored. It's a plain-language read, not financial advice.
When consolidation helps, and when it just feels like it does
Consolidation replaces several debts with one loan. It helps when the new APR, fee included, is meaningfully below the weighted rate you pay now, and when the term isn't much longer than it would take you to clear the debts anyway. It hurts when a lower monthly payment comes mainly from a longer term, or when an upfront fee eats the rate savings.
The other risk is behavioral: freshly zeroed cards are easy to run up again. If you'd rather keep your accounts and just attack them in order, compare with the snowball and avalanche plans.
Questions people ask
Does debt consolidation save money?
Only if the new loan’s total cost — interest plus any origination or transfer fee — is lower than what you’d pay on your current debts. A lower rate with a much longer term can still cost more. The comparison above uses the same monthly budget you pay today.
What counts as the cost of my current debts?
The calculator pays your current debts with the same total you pay now (the sum of the payments you enter), using the avalanche order, and adds up the interest until every balance is zero.
What about balance transfer cards?
Enter the promotional rate (often 0%) and the transfer fee as the origination fee, and a term equal to the promo length. Remember any balance left at the end reverts to the regular APR.
Will consolidating hurt my credit?
A new application adds a hard inquiry and a new account, which can dip your score briefly. Paying down card balances usually lowers utilization, which tends to help. The biggest risk is running the cards back up after consolidating.