One payment.
Less stress.
See how consolidating your debts into one personal loan could save you interest and simplify your repayments.
FAQ
Common questions about debt consolidation
How does debt consolidation work?
You take out a single new loan to pay off multiple existing debts, like credit cards, personal loans, and car loans. The aim is to replace high-interest, multiple repayments with a single lower-rate loan and a simpler monthly payment. It works best when the new rate is meaningfully below your weighted average current rate. The discipline is not to accrue fresh debt after consolidating.
When does consolidation make financial sense?
When all three of these hold: (1) the new rate is lower than your current weighted-average rate, (2) you'll repay the consolidated loan in full within the term without reverting to credit card spending, and (3) the total interest paid on the new loan is less than the total interest on your current debts. The calculator surfaces all three numbers in real time so you can make an informed call.
Will consolidating debt hurt my credit file?
Applying for any new credit involves an enquiry, which can cause a small, temporary dip. Over time, successfully paying off multiple accounts can improve your file by lowering credit utilisation and simplifying obligations. ClariFi uses a soft check during the comparison phase, which doesn't affect your file. A hard enquiry only happens if you formally apply with a chosen lender.
What debts can I consolidate into a personal loan?
Typically: credit card balances, store cards, personal loans, car loans, and BNPL balances. Mortgage debt can't usually be rolled in due to the security structure. HECS-HELP can't be consolidated either; it accrues at CPI and must be repaid through the ATO. With a mix, focus on the highest-rate debts first for maximum benefit.