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Do consolidation loans hurt your credit?

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LdiJ

Senior Member
#2
What is the name of your state? Virginia

Would getting a consolidation loan hurt my credit at all?
They would impact your credit, either positively or negatively in the same way that any other loan impacts your credit. However if the consolidation loan totally pays off your creditors, then it would tend to positively impact your credit. If the consolidation loan is one where the payoffs to your creditors are reduced based on negotiation, then it might tend to negatively impact your credit. How you pay the loan will either positively or negatively impact your credit.
 
#3
They would impact your credit, either positively or negatively in the same way that any other loan impacts your credit. However if the consolidation loan totally pays off your creditors, then it would tend to positively impact your credit. If the consolidation loan is one where the payoffs to your creditors are reduced based on negotiation, then it might tend to negatively impact your credit. How you pay the loan will either positively or negatively impact your credit.
I am guessing it negatively impacts my credit it would not be as bad as bankruptcy?
 
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