Professor Gregory Germain Provides Insights into Debt Consolidation Loans and Low-Income Loans at Money Geek

Professor Gregory Germain answers questions about two consumer loan topics – debt consolidation loans and low-income loans – at the Money Geek website.

For debt consolidation loans, Germain cautions that “some personal loans are secured through your house, car or other property. Converting an unsecured credit card loan into a secured loan puts you at greater risk of losing your property if you default. A personal consolidation loan may look attractive because it offers a lower monthly payment, but that lower payment may cost you a great deal more money over the life of the loan.”

In terms of low-income loans, Germain advises that “people cannot borrow their way to success and wealth. You have to save and invest in building wealth. If you have consumer debt, you have been spending more than you make, and that is a recipe for financial disaster. Your financial future depends on turning the tables by earning more than you spend. So I recommend that you develop a plan to get out of debt by changing your lifestyle now because the situation will only get worse.”