If you have a bankruptcy in your recent credit history, you might not be able to do this.

If you have a poor credit score, you may have a difficult time finding a loan with a low enough interest rate for the consolidation process to make financial sense.

If you consolidate the bills into one monthly payment, the process may be easier for you to handle.

When you had a severe illness or injury, you may end up with a slew of hospital bills.

Now that's an opportunity to change your life for the better that you just can't pass up. It's the improvement you need for yourself and for those you love.

In order to consolidate your bills into one monthly payment, you need to take out a new loan.

Know that you will have to pay income tax on the money you take out of the retirement account if you are not yet of retirement age.

Some other options include borrowing against your house or car with a line of credit or borrowing from friends or family. Many lenders conduct a soft inquiry, which does not require as much information. You will need to provide bank account information for dispersal of your funds.When you consolidate your bills, you are essentially taking out one big loan with a long term in order to pay off your other bills. The monthly payment you make is usually lower because the term of the loan is long.Over the course of the term of the loan, you could end up paying more than you would have by paying all of your bills separately each month.If possible, do a balance transfer from the cards with the highest interest rates to the card with the lowest rate.This is the best way to consolidate credit card bills.It pays to consolidate your bills if you can lower your overall interest rates.