Rolling all of your debts into a single loan is a good idea - in theory. In fact, it can be a great idea.
Jean ChatzkyYou need a clear, legitimate excuse for why you're behind [the bankruptcy], such as a layoff, divorce, or medical emergency. Be prepared to back up the circumstances with supporting documents. Anything you have to substantiate your story - including proof that you have, for instance, been actively looking for a new job - will help.
Jean ChatzkySave for your goals. Take note of what's coming your way - vacations, the holidays, what ever is going to cost you money - and start saving ahead of time so that you have a stash when the time comes.
Jean ChatzkyIf you have even a smidgen of doubt that you'll be able to stay away from racking up additional debt, don't do it.
Jean ChatzkyA consolidation makes sense only if you can lower your overall interest rate. Many people consolidate by taking out a home equity line loan or home equity line of credit (HELOC), refinancing a mortgage, or taking out a personal loan. They then use this cheaper debt to pay off more expensive debt, most frequently credit card loans, but also auto loans, private student loans, or other debt.
Jean Chatzky