Debt consolidation break-even
Compare keeping up to three debts versus one consolidation loan — monthly change, interest, fees and a simple fee break-even.
LoanCalc Lab editorial · Methodology: reducing-balance EMI / amortisation with disclosed assumptions (fees optional where shown) · Last checked:
Your inputs
Existing debts (up to 3)
Debt 1
Debt 2
Debt 3
Consolidation loan
Results
Keep: monthly total
£260.00
Keep: months to clear
3 years 8 months
Keep: total interest
£2,559
Consolidation monthly
£177.20
Monthly change
Negative means lower monthly outgo
-£82.80
Consolidation interest
£1,506
Interest saved (after fees)
£903
Fee break-even
2 months
Most people next
Illustrative only — not personalised financial advice and not a credit offer. Rates, fees and terms vary by lender and country. Check the lender’s disclosure before you borrow. Full calculator disclaimer.
Equations & assumptions
Keep path: simulate each debt with its minimum payment until cleared. Consolidation path: standard amortising loan on the consolidation principal. Fee break-even ≈ fee ÷ monthly saving when the new payment is lower.
- Capital-and-interest reducing balance; monthly rate = APR ÷ 12. Representative APR on UK credit ads may include fees — we model fees separately unless stated.
- No early repayment charges modelled on existing debts.
- Debts with zero balance or zero payment are ignored.
Notes & FAQs
- Should the consolidation amount equal the sum of balances?
- Usually yes (plus any fees rolled in). Enter the actual loan you would take. A longer term can cut the monthly payment while increasing total interest.