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Journal / Financial

The Consolidation Trap: Why a Lower Payment Can Cost You More

C
Editorial Team
Feb 02, 2026
6 min read

Executive Summary

"Consolidating credit cards into a 7-year personal loan might save you monthly, but it could cost $10k more in interest."

Lenders market "Low Monthly Payments." They rarely market "Lowest Total Interest." The difference between a 3-year and 7-year term is astronomical.

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