Consolidation Loan

[payingoff]

I have been paying off credit for about 2 years now and I was down to 2 stateside (I live abroad) creditors... one credit card loan at 30% interest and a car loan at 18%. The balances were too high for me to pay it off quickly and I couldn't take the interest rate, so I recently took out a loan at my bank at 8% to pay them off in 12 months. I acknowledge that I am saving a load of money but was wondering if a consolidation loan will be viewed as a negative when my credit is reviewed in the future? My goals are to increase my credit score, get rid of high interest credit, get rid of stateside debt.

[Anonymous]

Consolidation loans can fall under consumer finance. But if you could not pay off your debt, failing to pay or being late is absolutely terrible for your score. You would need to see how the loan is identified on your TransUnion credit report. Next to the loan on the lower left side the status would say what type of loan it is. Either way, when your credit cards are paid score should go up.

[Anonymous]

If it is a consumer finance, someone else would have to answer as I don't have experience with them. :-)