💰 Loans & Credit

Debt Consolidation
Savings Calculator

Add all your current debts, enter a consolidation loan offer and see the full picture — monthly saving, total interest saved and whether the numbers actually work in your favour.

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📋 Your Current Debts Before

Debt Name
Balance £
Rate %
Min Pay £
Total Balance:
Total Monthly:
Blended Rate:

🏦 Consolidation Loan After

💡 Tip: The loan amount is automatically set to your total debt balance. Adjust if your lender offers a different amount.
New Monthly Payment:
Total Interest (new):
Payoff Date:
Enter your debts to see the verdict
Add at least one debt and a consolidation rate to compare
Monthly Saving
Total Interest Saved
Months Saved

📊 Side-by-Side Comparison

Monthly
Before
After
Total Cost
Before
After

When Does Debt Consolidation Actually Make Sense?

Debt consolidation replaces multiple debts with a single loan — ideally at a lower rate. It makes financial sense when the new rate is lower than your blended rate AND the term isn't so long that total interest exceeds what you'd pay separately.

The Hidden Trap: Longer Terms

A lower monthly payment often comes from a longer term, not a lower rate. A 10% consolidation loan over 7 years can cost more total interest than a 22% credit card cleared in 2 years. Always check total cost, not just monthly payment.