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What Is Debt Consolidation?

By Jason Hall – Updated Jun 2, 2025 at 11:26AM

Key Points

  • Americans hold $17.7 trillion in debt, with $5 trillion as high-interest non-housing debt.
  • Debt consolidation can reduce payment costs by combining high-interest debts into one loan.
  • Be cautious of fees and short-term rates which might increase the final repayment amount.
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