Debt consolidation means to use one major loan in order to pay off all the other loan. It is implemented by simply using a collateral object such as a house to turn into secured loan and pay off the other loans, or sometimes it is the other way round.
There are many organizations that specialize in debt consolidations, and amongst them Bank of America, is the organization that has introduced a program called the Clean Sweep credit line, which offers loans for debtors to use as pay offs.
Depending on the credit limit of the user the program offers a variable interest rate of around 25.44% with a 3% transaction fee every time an advance is needed. This fee may start from a minimal amount of $5 with no maximal limit. The reason this scheme is popular is that it offers payment restart terms every time a request for advance is stated and this leniency is validated for 72 months.
