Debt, it's a term that pierces the ears. Most everyone has it, in one form or another, despite our attempts to deny it. No matter one's age or societal status, debt is wrapped around us and tightly so. Even for young adults and elderly seniors, we all have debt that unfortunately needs paying off - and preferably - sooner than later. Yet, one has to ask "How did we all get to such financial positions, with debt practically up to our eyebrows?"

Most commonly, we dig such financial graves and gain debt through conducting unreasonable and irresponsible financial behaviors, typically spending beyond one's means. Mainly, it is being rash and careless with money that proves to be a main contributor to piling up massive amounts of debt.

Unify and Stack Debt?

What if there was a way to gather all of one's debt to unify it all, where upon doing so, could allow for lower monthly payments? Well, where there's a will, there's also a way. And the will is completely up for an individual in debt to have; the way though, is through something called "Debt Consolidation."

Debt Consolidation is a financial process of taking, combining or, in this case, consolidating one's debts -whether in the form of personal loans, home equity loans, mortgage debt, credit card debt, car loans and so on- into a single, unified loan. To put it simply, the individual in debt is basically accumulating all of his or her debt by taking out a single loan to pay off all debts in one go, as one large whole.

Debt Consolidation "Intent"

Debt consolidation is usually done with intent to achieve a lower monthly payment extended over time, as to pay off debt through one vein and gradually over a set amount of years. And if conducted carefully and properly, debt consolidation can lower one's annual interest rate and the corresponding monthly payments, hence providing more available income month to month.

More Money, Not For Spending

This additional money that surfaces after consolidating is certainly enticing, yet it should not be touched. Most individuals though, see this extra financial boost as means for disposable play money, which they, to no practicality, put toward more financial actions leading to more debt! This is befuddling, especially considering they just went through debt consolidation. So, the lesson here is simple. Come the period of time after consolidating one's debts, put that money away and save it for times of financial emergency. Or, better yet, and more sensibly, put that extra money toward paying off newly consolidated debt. The worst thing one can do is take that extra play money and go on a credit card shopping spree or any other adventure where spending is excessive. Sure, it might seem enjoyable and purchase nifty things -not saying you necessarily need them- but it's rather detrimental simply because you already have debt and two, it's not taking a financially-sound action. Rather, it's most irresponsible on your part.

After consolidating debt, do it with intent on paying it off, entirely. Don't use the extra bit of money provided by the lower monthly payments for more pointless spending. Use that money with purpose, putting it toward paying off already accrued and recently consolidated debt.