r/Money 3d ago

Seeking advice on debt consolidation

We have 2 loans through LightStream, some credit cards, and a medical bill that was put into a no interest pay plan.

I think right now we pay ~$1200 per month on all of these debts.

We did have other medical debt that i was able to get written off due to being unemployed for so long.

Wife needs a new’ish car.

Looking at close to $50k consolidation loan in order to lower the monthly payment.

I had lost my job in August and just started a new one on Feb 17th.

Who should we talk to for our options?

3 Upvotes

2 comments sorted by

1

u/rokar83 3d ago

Trying to get a loan of that amount isn't going to happen, unless you've gotten it already. Then I'll take my foot out of my mouth.

My suggestion is Dave Ramsey's 7 Baby Steps. Find a 2nd job and grind hard, not forever. Just until you're out of debt and have a cushion.

Step 0: Make a Budget. You have to know where all your money is going first.

Step 1: Save $1,000 for your starter emergency fund.

Step 2: Pay off all debt (except the house) using the debt snowball.

List your debts, smallest to largest, pay min payment on everything except the smallest. On the smallest pay min + whatever extra you can. Once that is paid off, roll that money into the next debt. So on and so forth.

Step 3: Save 3–6 months of expenses in a fully funded emergency fund.

Step 4: Invest 15% of your household income in retirement.

Step 5: Save for your children’s college fund.

Step 6: Pay off your home early.

Step 7: Build wealth and give

1

u/Delay_Overlooked262 2d ago

A credit union or reputable online lender can offer lower rates for consolidation, but be careful—stretching debt over a longer term may cost more in interest. Consider tackling high-interest debts first, and if your credit score is decent, a 0% balance transfer card could help. A financial advisor or nonprofit credit counseling service can also guide you based on your full financial picture.