Debt Consolidation Alberta

Debt Consolidation Alberta. Out of all the provinces, Albertans struggle the most with personal debt.
According to the Canadian credit source Equifax, Albertans reported an average non-mortgage debt of $28,261 in 2020 alone.

If you are struggling with overwhelming debt, you may be looking for a feasible debt relief option to help you regain control of your finances. Debt Consolidation Alberta can help. The debt experts at Blanchard & Company Ltd. are here to help you analyze your existing debts and explore your debt-free solutions, which may include Debt Consolidation.

7 Signs You Need Debt Consolidation Alberta

  1. You have a large amount of debt spread across multiple loans.

Large amounts of debt from different lenders can mean trouble for the borrower. Not only does multiple overdue loans reflect badly in the eyes of your creditors, but it can also become difficult to keep track of which payments are due when. By consolidating your debt into one loan, you only need to keep track of one monthly payment and the rest of your debts will be paid off in full.

  1. You’re regularly forgetting to make payments by their due date.

Even a single missed payment can wreak havoc on your credit. Instead of risking any more damage to your credit score, a debt consolidation loan will combine all your debts into one, so you only have to remember one monthly payment date.

  1. You had a poor credit score when you took on debt.

A low credit score can lead to higher interest rates. If you had poor credit when you first started accumulating debt, you may be paying elevated rates. By consolidating your debt, you can benefit from a lower interest rate with the help of a financial consultant at Blanchard & Company Ltd.

  1. Your living expenses have gone up.

Debt can happen to anyone. No matter how carefully you plan or thrifty you try to be, it’s easy to lose control of your finances. If your living expenses have increased and you can no longer afford to make your monthly debt payments, it may be time to consider consolidating.

  1. You’re keeping your finances afloat by using a line of credit or bank overdraft.

If you have been struggling with unexpected debt for quite some time, you may be experiencing a build-up of payday loans. Or perhaps you’ve been trying to keep up with an unaffordable car loan. If you’ve been turned down for a bank loan or have been unsuccessful in refinancing your mortgage, speak to a representative about consolidating your debts.

  1. You are getting more and more frustrated with your lenders.

Debt is frustrating all on its own. The last thing you need to deal with is a soured relationship with your creditors. If a creditor becomes difficult to deal with, they are less likely to be lenient if you are late on a payment or need to extend a deadline.

  1. You’re fed up with debt and ready to start a new financial chapter in your life.

An important first step in repairing your debt is wanting to be free from financial burdens. If you are ready to improve your financial standing, now is the time to speak with a consultant from Blanchard & Company Ltd.

Debt Consolidation Alberta
Debt Consolidation Alberta
Debt Consolidation Alberta

Simplify Repayments with Debt Consolidation Alberta Loans

Debt consolidation unscrambles your finances. A consolidation loan combines your existing debts into one single monthly payment, making it easier to pay off your debts and save you money by lowering interest charges and reducing the time it takes to pay off your debt.

Consolidations loans are a common form of debt consolidation in Alberta. They work by analyzing your current financial standings and, if you are eligible, providing you with one lump sum payment that will pay off your outstanding debts. You are then responsible for repaying this loan directly to the lender rather than multiple different sources, and often boasts a lower interest rate than the debts that were just paid off.

The financial advisors here at Blanchard & Company Ltd. will help you negotiate favorable terms with the consolidation loan lender, including a lower interest rate, a reasonable monthly repayment amount, and a set repayment term.

Debt Consolidation Alberta
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Debt Consolidation Alberta Loans and Your Debt

Paying off debt in Alberta is always beneficial to your overall financial standing, not to mention your credit score. A debt consolidation loan can help you regain control of your finances and make it easier and more affordable to work towards your goal of being debt-free. It may not eliminate your debts overnight, but debt consolidation can help you pay off your debts while having a very limited impact on your credit score and your quality of life.

While a debt consolidation loan can help you eliminate debt in Alberta, there are limits to the debts that can be consolidated.

While consolidating your debts into one loan has many advantages for your finances and your credit, there are a few disadvantages you should be aware of before rushing to take out a loan.

  • if you don’t change your spending habits, you can go back into debt
  • there may be some up-front costs
  • missing a payment has very negative consequences on your credit

To learn more about the effects of consolidating your debt and to obtain debt consolidation assistance in Alberta, schedule your free consultation with the experts at Blanchard & Company Ltd.

Qualifying for a Debt Consolidation Alberta Loan

Each lender has a unique evaluative criterion that they use to determine a borrower’s eligibility for a consolidation loan. You may benefit from applying for a loan that consolidates your debts if:

  • you spend more money than you earn
  • you are paying two or more creditors
  • your creditors are threatening immediate action
  • you cannot pay your bills on time or meet the minimum required payments
  • your current debts are causing you stress
  • you have a good credit score
  • you prefer fixed payments and can afford to repay the loan


To find out if you qualify for a debt consolidation Alberta loan, schedule your free consultation with the experts at Blanchard & Company Ltd. We are here to help you discover how you might benefit from a consolidation loan or determine if there is a different debt-free solution that would better benefit your personal circumstances.

The Benefits of Debt Consolidation Alberta Loans

  • reduces debt into one simple loan
  • requires only one loan repayment each month
  • can lower your interest rate
  • offers a fast path to financial stability
  • can improve your credit score (as compared to other debt relief methods)
  • can borrow up to $30,000 in Alberta
  • you don’t have to sell any of your assets

The Downside to Debt Consolidation Alberta Loans

While consolidating your debts into one loan has many advantages for your finances and your credit, there are a few disadvantages you should be aware of before rushing to take out a loan.

  • if you don’t change your spending habits, you can go back into debt
  • there may be some up-front costs
  • missing a payment has very negative consequences on your credit

To learn more about the effects of consolidating your debt and to obtain Debt Consolidation Alberta, schedule your free consultation with the experts at Blanchard & Company Ltd.

Debt Consolidation Alberta

Debt Consolidation and Your Credit Score

Like most debt management programs available in Alberta, a debt consolidation loan may have an initial negative impact on your credit. This is only temporary. By making on-time regular payments and putting down lump sum payments, you can rebuild your credit score in no time. With counselling from the team at Blanchard & Company Ltd., a consolidation loan may even improve your credit score.
Your credit score is influenced by a multitude of factors, including your repayment history, credit utilization, and credit history. So long as you make your monthly payments in-full and on-time, you can build up your repayment history and improve your credit score.
If you are interested in learning more about credit scores, check out this in-depth look into Credit Scores in Canada here.

Paying Back a Consolidation Loan

While a consolidation loan can help you regain control of your finances and be a helpful move in eliminating your debts, there will be additional work required. You will need to set a reasonable budget that you can stick to in order to stay out of further debt.

Making the minimum payment owed each month on your consolidation loan is a crucial step in paying back what you owe during the agreed upon timeframe. However, you are not confined to this repayment period. You can make lump sum payments on your consolidation loan at any time that will reduce the principal owing, and ultimately reduce the amount of interest you pay and how long it takes to repay the consolidation loan.

Some consolidation loans allow you to have additional streams of credit while repaying your loan, so it’s crucial for consumers who struggle with debt to not accumulate more while trying to consolidate existing loans. If you struggle to curb your spending, consider pre-paid visas, gift cards, and cash withdrawals.

Since your original debts will be consolidated, your existing credit cards will be at $0. This can make it extremely tempting to start spending again and, if you are not careful, you may end up back in the same predicament you started in. The financial advisors at Blanchard & Company Ltd. can help you draft a realistic budget that you can actually stick to.

Debt Consolidation Alberta

If Your Debt Consolidation Loan Was Rejected

Maybe your credit score was too low, or you didn’t have enough income to qualify for a consolidation loan. If your loan application has been denied or you have been told that you don’t qualify, don’t lose hope. The team here at Blanchard & Company Ltd. is here to help.

Our dedicated team of financial specialists can help you revisit your application, find a new lender, and help you explore a different debt relief solution, such as credit counselling, bankruptcy, or filing a consumer proposal.

Other Forms of Debt Consolidation Alberta

While consolidation loans are a popular form of debt consolidation, there are in fact five main forms of Debt Consolidation Alberta. The other four consolidation methods include:

  1. Debt Management Plan – A DMP offers a private way to get out of debt, which won’t appear on any public record. Instead of consolidating your debts, a DMP will consolidate your debt payments as our team will negotiate with your creditors to establish one monthly payment that fits your budget.


  • become debt-free within 5 years
  • receive professional credit counselling support


  • not all debts can be consolidated
  • can have a minimal impact on your credit report
  1. Credit Card Balance Transfer – The main advantage of a Credit Card Balance Transfer is flexibility. This option allows you to consolidate your debts for easier repayment while also giving you the opportunity to temporarily fall back to paying just the minimums if you have a bad financial month. Be aware, though, that while lots of credit cards will have special offers to entice you to register for their card, these promotions come with strict terms and conditions.


  • flexibility
  • low interest rates


  • you need to qualify with the credit card company
  • special offer interest rates may expire and result in higher rates
  1. Home Equity Line of Credit – You can calculate the equity that you own in your home by subtracting what you owe from the worth of your house. If you own a considerable amount of equity in your home, you may be able to borrow that amount against it to pay off your debts.


  • low interest rates
  • flexibility in determining payment arrangements


  • you need to own a considerable amount of equity in your home
  • can include high fees, if not negotiated correctly
  1. Consumer Proposal – A consumer proposal is a formal settlement with your existing creditors that the Licensed Insolvency Trustee here at Blanchard & Company Ltd. will handle on your behalf. It will eliminate some of your debt and stop interest so you can actually afford to pay your outstanding debts.


  • eliminates most of your debt so you can afford to pay back what remains
  • you can qualify for a consumer proposal even if you don’t qualify for a consolidation loan


  • includes a moderate fee
  • does not include all your debts, such as student loans and child support
Debt Consolidation Alberta

Applying for Debt Consolidation Alberta

Getting approved for a Debt Consolidation Alberta loan is easier than you may think. With help from Blanchard & Company Ltd. right here in Red Deer, you can start down the path to financial freedom with confidence.
Get started today by scheduling your FREE consultation. We can be reached by phone at 403-348-5880 or be sending us a message through our website.

Book your appointment today

Feel confident that you are taking the right steps towards a debt-free future by contacting us today for a FREE consultation.

Brian Blanchard
Joan Rude
Insolvency Administrator
  • 405, Professional Building
    4808 Ross Street
    Red Deer, AB T4N 1X5
  • 403.348.5815
  • Monday–Friday: 9:00AM–4:30PM
    Saturday - Sunday: CLOSED

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