This is a YouTube video titled "Does it make sense to do debt consolidation?" containing a monologue or talk discussing the drawbacks of debt consolidation programs, explaining how they often extend payment periods and can lead to more debt. The content appears to be a single speaker providing financial advice or commentary.
Does it make sense to do debt consolidation? In most cases, it does not. A debt consolidation doesn't eliminate your debt. It consolidates it. It puts it all into one loan. And the reason the payments typically go down is because they extend the payments out longer, which means that what you're doing is kicking the can down the road. And ultimately, you will pay more in a debt consolidation program by doing so. But here's the thing that I fear even more. Let's say that all of your payments of all your debt add up to $1,000, and you go into a debt consol program, and they get the payment down to $700. So you're paying on it longer. But now, all of a sudden, in your mind, you go, I got $300 extra. So what do you do? You go out and spend the money, and we go back into debt.
